Jersey introduces licensing scheme for landlords

The Government of Jersey has introduced a new legal requirement for the rental sector as part of its work to improve the standards of rental accommodation on the island.

Under the Public Health and Safety (Rented Dwellings) (Licensing) (Jersey) Regulations 2023 (the Regulations), from 1 May 2024 all landlords in Jersey will need to have a Rented Dwellings Licence for each unit of residential property that they rent out.

There will be a transitional period of three months. Current landlords can apply at any time before 31 July 2024 to be granted a licence without a pre-inspection taking place.

Affected properties

The Regulations only apply to rented residential dwellings (apartments or houses, including any social housing). They do not apply to commercial tenancies.

Properties such as lodging houses, tourist accommodations, and nursing / care homes are separately regulated, so are not covered by the Regulations.

Application process

From 1 May 2024, a landlord should apply online for a licence for each dwelling that they wish to rent out or continue to rent out. The application fee is £60. If granted, a licence is valid for a period of two years. If a property is sold, its licence can be transferred to the new owner.

Once you apply, before a licence is granted, the Minister may wish to inspect the dwelling to ensure it is up to certain minimum safety standards and there is no prescribed hazard in the dwelling.

The Government has introduced minimum safety standards relating to matters such as electrical safety, gas safety, and smoke detection along with a list of prescribed hazards.

The Government has provided a landlords' toolkit which also details the Code of Practice and a summary of the guidance. Events offering further information and guidance, hosted by the Government, will be held across Jersey this week (22 April – 26 April).

We recommend that you check your rental properties comply with these requirements.

Granting and withdrawing licences

If your property needs improvement, you may still be granted a licence. However, the Minister can impose certain conditions to ensure the necessary improvements are made by a specified date.

The Minister may also choose to refuse a licence but must give reasons for the refusal and information about your right to appeal.

Equally, the Minister can withdraw a licence if there is a prescribed hazard and / or if a standard licence condition has not been complied with. Again, reasons must be given along with details of the appeal process.

Penalties

It will be illegal for a landlord to rent out a home in Jersey without a licence for that dwelling. Failure to have a licence will result in penalties, including a fine of up to £10,000 and potentially being unable to rent out that property until a licence is granted (which may mean doing certain works to bring it up to standard).

For more information on the Rented Dwellings Licensing Scheme, contact a member of Ogier's expert Property team at info@ogierproperty.com or by calling 01534 514304.

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Disclaimer

This client briefing has been prepared for clients and professional associates of Ogier. The information and expressions of opinion which it contains are not intended to be a comprehensive study or to provide legal advice and should not be treated as a substitute for specific advice concerning individual situations.

Regulatory information can be found under Legal Notice