There could be as many as 200 unlicensed HMOs in borough

There could be as many as 200 unlicensed HMOs in Caerphilly County Borough, according to a council planning official – but the true figure could be higher.

A HMO, or House of Multiple Occupancy, is accommodation run by a private landlord, with bedrooms rented out to unrelated tenants who share facilities. Residents will usually share a kitchen, dining area, a bathroom and a toilet.

The landlord needs to be licensed by the council to operate a HMO.

Speaking at a recent planning meeting to discuss a HMO application in Trinant, planning officer Carwyn Powell made a “best guess” that there were 200 unlicensed HMOs, based on information from the council’s housing department.

According to Caerphilly County Borough Council’s own register, published in July last year on its website, there are just eight licensed HMOs.

This is in stark contrast to official figures from Stats Wales which estimates there are a total of 250 licensed and unlicensed HMOs in Caerphilly County Borough.

HMOs often lead to objections from neighbours and ward councillors because of the potential disruption they can cause.

The concerns raised are often social – such as the potential increase in antisocial behaviour – but these are not material planning considerations, which are needed to refuse an application.

A report published in May 2021 by Welsh Government said due to the nature of HMOs – residents on low incomes and/or from vulnerable group who are likely to be unrelated – they can be more “intensive” than single household use.

An application for 25 Cedar Road, Trinant, received five letters and a petition with 88 signatures objecting to the HMO on the “quiet family street”.

Ward councillor for Crumlin, Carl Thomas, spoke against the application at the planning committee meeting, held on Wednesday March 23.

He cited a lack of parking, potential antisocial behaviour issues, and the loss of a family home as residents’ main concerns.

But, both planning officers Michael Jones and Carwyn Powell said the application was acceptable in planning terms. Mr Powell added that the amount of parking was sufficient and the other concerns were not material planning considerations.

Cllr Mike Davies, who also represents Crumlin, said: “Many if not all HMO applications in the past four years have been granted due to not many planning grounds to refuse HMOs.”

Overconcentration of HMOs in one area could be a reason for refusal – a problem because of the number of unlicensed HMOs that could be operating.

Cllr Nigel Dix, who represents Blackwood, said: “The law is not dealing with HMOs effectively. We are putting individuals who don’t know each other together – that can be quite challenging in itself.”

Cllr Dix has first-hand experience of HMOs as he works for the housing association Pobl, which offers affordable homes and care to vulnerable people.

He said: “Location is paramount to the success of a HMO. I have seen far too often in my job where the location hasn’t been suitable and it has failed.”

Trinant is a semi-rural village, and it was recognised by members that it does not have good public transport links.

Cllr Davies said: “Welsh Government have been quite vocal that we should look after these communities.”

He said he believed the Trinant HMO was “purely to maximise profit”.

HMOs allow landlords to charge each tenant individually for rent; this set-up is useful for those who cannot afford to live in a self-contained home.

Additionally, the council pays landlords of HMOs to house those under the care of social services. Therefore, the money generated from a HMO is more than if the property was rented out to one family or household.

The applicant, Gary Pestaccio, who also has a licensed HMO in Crosskeys, said: “There is a severe shortage of this type of accommodation in Caerphilly County Borough.”

He added that he strongly agreed with the additional regulations that come with HMO accommodation.

The regulations ensure that tenants have access to decent facilities and include ensuring the property is not overcrowded, annual gas checks, and electric checks every five years.

Cllr Julian Simmonds, who represents Crosskeys, said from his experience Mr Pesticcio managed the HMO in his ward “very well”.

Cllr John Ridgewell said that Mr Pesticcio should not be “demonised”.

Cllr Ridgewell added: “He is a business man and has every right to develop the properties and make a profit.”

Chair of the planning committee, Cllr Roy Saralis, closed the debate and said: “It is one of those situations where people are sympathetic to the potential impact, but we have very little choice but to accept it with some regrets.”

Five councillors voted against the application, and eight voted in support of it.