A letting agent and law firm will take Leicester City Council to court for charging buy-to-let landlords onerous licensing fees of £1,290 per property.
Leicester’s biggest letting agent Martin & Co, in partnership with law firm JMP Solicitors, will launch the legal action in mid-July, The Telegraph reports.
Jason Smart of JMP Solicitors said: “We don’t accept that the charges being rendered are fair and reasonable. They are penal, sporadic and inconsistent.”
Currently around 60 landlords have joined the cause, though Smart predicted that amount to reach 100 by the end of the month.
The £1,290 charge is seen as high both compared to other parts of the UK, as well as considering Leicester’s rental prices, which stand at a monthly average of £989 per month.
Landlord licensing schemes are commonly used to fund inspections, enforcement action, and councils argue they raise the quality of rental stock in a given area.
In December the new Labour government enabled local authorities to introduce schemes covering larger areas without needing approval from the Secretary of State.