Selective licensing: does your council need a landlord licence?

Selective licensing is a council scheme that requires a licence for most privately rented houses in all or part of its area, not just houses in multiple occupation. If your property sits inside a designated area, you need a licence before you let it, or as soon as the scheme comes into force. Since December 2024 councils have been able to introduce schemes without government approval, so it's worth checking even if you checked a few years ago.

Selective licensing is one of the duties on our landlord compliance checklist. This page covers England only.

How selective licensing works

Selective licensing comes from Part 3 of the Housing Act 2004. A council can designate all or part of its district so that most privately rented houses there need a licence. It must be satisfied that one of these conditions applies:

• low housing demand;
• significant and persistent antisocial behaviour; or
• a high proportion of privately rented homes combined with poor property conditions, high migration, high deprivation or high crime (added by the 2015 Additional Conditions Order).

Since 23 December 2024, under the General Approval 2024, councils no longer need confirmation from the Secretary of State for a selective scheme of any size, provided they consult for at least 10 weeks. A designation lasts at most 5 years, and the scheme ends then unless the council re-designates.

How to check if your property needs a landlord licence

There's no single official national list of schemes that we could find. Use these routes instead:

1. Find your local council on GOV.UK and go to its private sector housing or licensing pages.
2. Read the council's designation notice. Councils must publish a notice when they make a designation, stating the date it comes into force, and keep it available while it is in force.
3. Check the council's public register of licences.
4. GOV.UK's HMO licence service also takes you to your council's licensing page from a postcode.

Once your region's registration opens, your private rented sector database entry will also record any licence, under the draft regulations.

Watch out: A designation can cover just part of a council's area. Check exactly which area the designation covers, not just which council made it.

Selective licence or HMO licence?

	Mandatory HMO licence	Additional HMO licence	Selective licence
Covers	HMOs with 5 or more people in 2 or more households	Smaller HMOs of a description the council chooses	Most privately rented houses in the area
Where	All of England	Only in a designated area	Only in a designated area
Legal basis	Housing Act 2004, Part 2	Housing Act 2004, Part 2	Housing Act 2004, Part 3
Typical 5-year fee (estimate)	About £500 to £1,500	About £400 to £1,200	About £400 to £1,000

If your property is an HMO, read our HMO licence guide first.

Licence conditions and renewal

A licence lasts up to 5 years, and the expiry date is set on the licence. Every licence carries mandatory conditions, including:

• giving the council a gas safety certificate every year;
• keeping electrical appliances, furniture and installations safe, and giving the council a declaration when asked;
• fitting smoke and carbon monoxide alarms, and declaring their condition and position when asked;
• giving occupiers a written statement of the terms of their occupation.

Read your licence for any further conditions it contains. Put the licence expiry date and the scheme's end date in your diary: the scheme ends within 5 years unless the council re-designates, so check the council's notices as that date approaches.

What a selective licence costs (estimate)

Councils set their own fees, limited to recovering their costs, and usually charge in two parts: an application fee and a further fee when the licence is granted. As an estimate, a five-year selective licence typically costs about £400 to £1,000.

That range comes from a single commercial guide reviewed in October 2026, which gives no underlying data. Many councils discount fees for accredited landlords. Always check your council's fee schedule before you budget.

Penalties, and does it affect eviction?

Letting a house that needs a selective licence without one is a criminal offence under section 95 of the Housing Act 2004. The council can:

• prosecute, with an unlimited fine on conviction; or
• impose a civil penalty of up to £40,000 for conduct on or after 1 May 2026 (the old cap was £30,000).

Breaching licence conditions can also bring a civil penalty of up to £40,000. Tenants, or the council, can seek a rent repayment order of up to 2 years' rent for offences committed on or after 1 May 2026, and superior landlords can now be liable too. For the wider enforcement picture, see council powers under the Renters' Rights Act.

On possession, the rule that blocked a section 21 notice for an unlicensed house was removed on 1 May 2026, and the Housing Act 1988 section 7 has no licensing condition. If the council refuses or revokes your licence, Ground 6B may let you recover possession to comply.

Selective licensing checklist

• Check your council's designations and the exact streets or wards covered.
• Confirm whether the property needs an HMO licence instead.
• Apply before letting, or as soon as the scheme starts, and keep proof of the date.
• Read every condition on your licence.
• Send the council a gas safety certificate every year.
• Note the licence expiry date and the scheme's end date.

What to do next

Add your licence expiry date and annual gas certificate deadline to ValidNotice's free compliance reminders. If the property is shared, read our HMO licence guide next.