Landlord Ordered to Repay £30,600 for Unlicensed HMO and Fire Safety Failures in Lambeth
A landlord in South London has been compelled to refund £30,600 in rent after a tribunal ruled that four tenants resided in an unlicensed House in Multiple Occupation (HMO) with significant fire safety hazards. The property, located on Camberwell New Road in Lambeth, lacked essential safety measures, prompting the tenants to seek a Rent Repayment Order (RRO).
Serious Fire Safety Deficiencies Identified
Judge McKeown highlighted "serious deficiencies" in the three-storey property managed by Rebecca Elizabeth Fong. Key issues included the absence of a fire blanket, only one fire door installed, and a single battery-operated smoke alarm for the entire building. The judge noted that the front door required a key to unlock, posing a severe risk during emergencies, as occupants would need to locate the key to escape, compromising both safety and security.
Despite being a member of the National Residential Landlords Association (NRLA), Fong made "little to no effort" to stay updated with legal requirements, especially in light of heightened fire safety awareness post the 2017 Grenfell Tower disaster. She acknowledged managing an unlicensed HMO but argued against full rent repayment, citing that she applied for a licence within 17 days of realizing the necessity and engaged with tenants "openly and proactively."
Tenants' Stress and Financial Impact
The tenants, Safia Mahmood, Anna Elizabeth Hughes, Hannah Elisabeth O'Rouke, and Millie Jade Filtness, experienced considerable stress due to the uncertain living conditions. In June 2024, they faced a rent increase discussion, which they initially contested but later accepted. Shortly after, Fong and her mother conducted property checks, leading to an email notification that the house lacked an HMO licence and might require structural changes, reducing it from four to three bedrooms.
This revelation caused anxiety, exacerbated by one tenant's risk of redundancy at work. By December 2024, believing the licence was still absent, the tenants gave notice to leave. However, in February 2025, they learned the HMO licence had been issued on October 8, 2024, causing distress over five months of unnecessary worry and confusion about why they were not informed earlier.
Rent Repayment Order and Tribunal Decision
The tenants filed for an RRO in May of last year, seeking 12 months of rent from August 2023 to August 2024, totaling £36,000. The tribunal ordered Fong to repay £30,600, with Mahmood and Hughes receiving £7,395 each, and O'Rouke and Filtness receiving £7,905 each. Additionally, Fong was directed to cover £341 in hearing fees for the tenants.
Fong's representative requested a reduced RMO of 65% to 70%, arguing she was not a "rogue landlord" and "did not bury her head in the sand." She pointed to returning deposits in full, providing rent relief during the Covid-19 pandemic, and complying with Lambeth Council's conditions post-licensing as mitigating factors.
This case underscores the critical importance of adhering to HMO licensing regulations and maintaining robust fire safety standards to protect tenant welfare and avoid substantial financial penalties.
