Calculate, Issue, and Track Civil Penalties
Civil penalties are the most powerful enforcement tool available to local authority housing teams. PRSCheck provides built-in tariff tables, calculation guidance, and revenue tracking to help you use them effectively.
Penalty starting amounts
The Housing Act 2004 (as amended by the Housing and Planning Act 2016) allows councils to impose civil penalties of up to £30,000 per offence as an alternative to prosecution. The following table lists the key offences.
| Offence | Legislation | Maximum penalty |
|---|---|---|
| Failure to comply with Improvement Notice | Housing Act 2004, s.30 | £30,000 |
| Operating an unlicensed HMO | Housing Act 2004, s.72(1) | £30,000 |
| Operating an unlicensed property (selective/additional) | Housing Act 2004, s.95(1) | £30,000 |
| Breach of HMO management regulations | Housing Act 2004, s.234 | £30,000 |
| Breach of licence conditions | Housing Act 2004, s.72(3) / s.95(2) | £30,000 |
| Failure to comply with overcrowding notice | Housing Act 2004, s.139(7) | £30,000 |
| Letting a property with EPC below minimum E | Energy Efficiency Regulations 2015, reg.36 | £5,000 |
| Failure to provide a valid EICR | Electrical Safety Regulations 2020, reg.3 | £30,000 |
| Failure to register on PRS Database | Renters' Rights Act 2024, s.75 | £30,000 |
| Failure to comply with PRS Database requirements | Renters' Rights Act 2024, s.76 | £30,000 |
Calculation factors
MHCLG guidance (Civil Penalties under the Housing and Planning Act 2016) sets out the factors councils must consider when determining the penalty amount. PRSCheck guides officers through each factor.
Severity of the offence
How serious is the breach? Does it pose a direct risk to tenant health or safety? A missing gas safety certificate on a property with a faulty boiler is more severe than an administrative lapse.
Culpability and intent
Did the landlord knowingly commit the offence? Have they ignored previous warnings? Deliberate non-compliance justifies higher penalties. First-time offenders with genuine ignorance may warrant lower amounts.
Landlord track record
Previous offences, penalty history, and compliance record across their portfolio. Repeat offenders should expect escalating penalties. PRSCheck tracks this automatically across all properties.
Financial benefit gained
The penalty should remove any financial benefit from non-compliance. If a landlord saved £2,000 by not doing required works, the penalty must at least exceed that amount.
Deterrent effect
The penalty should discourage the landlord and others from committing similar offences. For large-portfolio landlords, a small penalty relative to their rental income has limited deterrent effect.
Landlord financial circumstances
Where a landlord provides evidence of financial hardship, this can be a mitigating factor. However, this does not override the need for the penalty to outweigh the benefit of non-compliance.
Revenue tracking
Local authorities retain 100% of civil penalty income. Under the Housing and Planning Act 2016, this money must be used to fund further housing enforcement activities, creating a self-sustaining enforcement cycle.
100%
Penalty income retained by the council
Ring-fenced
Must fund further enforcement activity
Real-time
Dashboard tracks issued, paid, and outstanding
PRSCheck tracks every penalty from issuance through to payment or appeal. Your team can see total revenue generated, outstanding amounts, appeal rates, and average time to payment at a glance.
Calculate your enforcement ROI
See how much penalty income your borough could generate with proactive enforcement. Our ROI calculator uses your property count and current enforcement activity to project potential revenue.
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