Plumstead Landlord Hit with £7,500 Fine Over Unlicensed and Mould-Damaged Flat
A property management firm has been ordered to pay Greenwich Council £7,500 for operating a residential flat in Plumstead without the required selective licence. The case involves NTM Ltd, previously known as All Seasons Letting and Management Services, which was originally fined £10,000 by the council before a property tribunal reduced the penalty.
Severe Mould Conditions and Licensing Failure
The flat at 9A Robert Street, located in a Plumstead tower block, housed a family of four and remained unlicensed for 15 months. Greenwich Council's investigation began in December 2023 after receiving a complaint about the property's poor living conditions. Environmental Health Officer Cherie Hebert discovered that no selective licence application had been submitted, despite the council's licensing scheme being operational since October 2022.
During a January 2024 visit, Ms Hebert informed an NTM representative about the licensing requirement and discussed significant deficiencies in the flat. A follow-up inspection three months later revealed the property was still in poor condition with no licence application in progress.
Company's Defense and Tribunal Decision
After receiving a formal letter outlining legal consequences, NTM finally submitted a licence application. Greenwich Council immediately imposed the £10,000 fine, which NTM appealed to the first-tier tribunal property chamber.
NTM argued they were unaware of Greenwich's selective licensing scheme because the company isn't based in the borough. They claimed the penalty "contradicts official guidance and lacks procedural fairness" and that the property "was licensed as soon as reasonably practicable once the applicant became aware of the licensing scheme."
During tribunal proceedings, NTM director Daniel Chowdhury admitted the flat contained significant mould damage requiring approximately £8,000 in repairs. He also conceded his company hadn't been proactive in checking licensing obligations.
Reduced Penalty and Council Authority Upheld
The tribunal upheld Greenwich Council's right to impose financial penalties but reduced the amount by £2,500. Tribunal members found the council had been "slightly harsh" because the selective licensing scheme began six months after a new tenancy started at the Robert Street property.
However, the tribunal completely dismissed NTM's claim of ignorance about the licensing requirements, emphasizing that property management companies have responsibility to stay informed about local regulations affecting their properties.
This case highlights the serious consequences landlords face for failing to comply with selective licensing schemes while maintaining properties in unacceptable conditions. The £8,000 mould repair estimate underscores the significant maintenance issues that went unaddressed while the family lived in the substandard accommodation.
