Every £1 put into Nottingham’s private rented housing licensing schemes returned £4.62 in social value, according to a new independent report published by Nottingham City Council.
The Social Impact and Social Return on Investment report covers five years of licensing work from 2020 to 2024. It says £24.9 million of investment generated £114.9 million in social value through safer homes, better landlord compliance, improved neighbourhood conditions and reduced pressure on public services.
The council describes the study as the first of its kind in England to measure private rented housing licensing through a Social Return on Investment approach. The findings are likely to be watched beyond Nottingham because private renting now forms a major part of housing supply in many UK cities.
£24.9m of licensing work linked to £114.9m in value
The report’s headline figure is not a cash profit calculation. Social Return on Investment is designed to attach value to wider outcomes, including health, safety, wellbeing, environmental benefits and avoided public service costs.
That distinction matters. The £114.9 million figure shows the value the study attributes to the programme’s effects, not money sitting in a council account. It is a way of comparing public investment with the wider gains claimed for renters, landlords, neighbourhoods and services.
| Measure | Reported finding |
|---|---|
| Period assessed | 2020-2024 |
| Investment in licensing | £24.9 million |
| Social value generated | £114.9 million |
| Return per £1 invested | £4.62 |
| Renters directly benefiting | More than 14,500 |
| Unlicensed landlords brought into compliance | More than 7,400 |
The report also says £91 million of the social value came through improvements to renters’ health, safety and wellbeing.
More than 14,500 renters saw direct home improvements
For tenants, the most immediate claim is that more than 14,500 renters benefited directly from improvements to their homes. The council says licensing helped deliver safer and warmer properties, fewer hazards and stronger protection where poor conditions were identified.
Housing licensing usually requires landlords in covered areas or property types to meet defined standards, apply for a licence and accept checks or enforcement where needed. In Nottingham, the report says this has combined inspections, intelligence, advice and enforcement rather than relying on penalties alone.
The findings sit alongside other local enforcement activity, including a recent case in which a Nottingham landlord was fined over unlicensed housing violations. That type of action is part of the wider compliance picture the council says licensing is intended to support.
Landlord compliance and neighbourhood complaints changed
The study says more than 7,400 unlicensed landlords were brought into compliance over the five-year period. It also found 36% of landlords reported improved knowledge of their responsibilities.
For responsible landlords, the council argues licensing can create a more level playing field by making it harder for unlicensed or poor-quality operators to undercut standards. The report says clearer rules, training, accreditation and guidance were part of that effect.

Neighbourhood indicators also changed in licensed areas. The report points to a 48% reduction in anti-social behaviour and a 45% reduction in waste complaints. Those figures show reported reductions in the areas assessed, although the source summary does not prove licensing was the only cause of the change.
NHS, police and fire service pressures are part of the calculation
The social value total includes claimed benefits beyond housing itself. The report says licensing reduced pressure on public services including the NHS, police and fire services.
Those benefits include avoided fires, health savings and carbon reduction benefits. Poor housing can contribute to respiratory illness, injury risks, cold-related health problems and stress, so improvements to property conditions can affect services that do not sit inside housing departments.
Councillor Jay Hayes, Nottingham City Council’s Executive Member for Housing & Planning, said a safe, secure and affordable home underpins health, wellbeing, education, employment and community life. He said almost a third of Nottingham residents live in the private rented sector.
Hayes said the report moves the debate “beyond whether licensing works, to what difference it truly makes”, adding that every £1 invested delivered £4.62 in value back to the city.
National interest in Nottingham’s licensing model
The council says the report has already attracted interest at national level and is informing wider discussions about how housing regulation can be evaluated across England.
That does not mean the Nottingham results can be copied automatically elsewhere. Licensing schemes vary by city, housing stock, enforcement capacity, landlord market and tenant profile. A social value study also depends on the assumptions and valuation methods used by its authors.
For Nottingham, the next test is whether the findings shape future licensing decisions and whether the reported gains continue beyond the 2020-2024 assessment period.
Hayes said the report shows “good landlords are supported, renters are better protected, and neighbourhoods are stronger and safer as a result.”
Source: Nottingham City Council
Source check Source trail
This article is based on Nottingham City Council’s published summary of the independent housing licensing social impact report.
- Checked the reported assessment period of 2020-2024.
- Compared the stated £24.9 million investment with the reported £114.
- Kept public service impacts attributed to the report without adding unsupported statistics...
- Identified Nottingham as the factual geographic scope rather than using the publisher name...
- Source
- Nottingham City Council
- Scope
- Nottingham
- Updated
- 2026-05-27 19:28
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