Selective licensing: what it means for you as a tenant

Some local councils require private landlords in certain areas to hold a licence before they can legally rent out a property. This is called selective licensing. It is separate from the HMO (house in multiple occupation) licensing system and applies to ordinary single-household lets in designated areas. Here is what selective licensing is, how to check if your landlord needs one, and what it means for you.

What is selective licensing?

Selective licensing is a scheme operated by local councils under Part 3 of the Housing Act 2004. Councils can designate certain areas, usually areas with higher rates of anti-social behaviour, low housing demand, or significant private renting, where all private landlords must apply for a licence.

Not every area operates a selective licensing scheme. It is only in force where the council has made a specific designation.

Why do councils introduce it?

The aims of selective licensing typically include:

• Requiring landlords to meet minimum property condition standards
• Reducing anti-social behaviour linked to private renting
• Improving the management standards of landlords in the area
• Creating a register of private landlords operating in the area

Licence conditions often require landlords to maintain the property to a certain standard, deal promptly with anti-social behaviour, and cooperate with council inspections.

Does your landlord need a licence?

If you live in a privately rented property (not a council or housing association home) in a designated selective licensing area, your landlord may need a licence. You can check:

• Your council's website, most publish maps or lists of selective licensing areas and a register of licensed properties
• The council's housing enforcement team, they can confirm whether your address is in a designated area

If your landlord should have a licence but does not have one, this is an offence under the Housing Act 2004.

What does a selective licence require of your landlord?

Licence conditions vary by council, but typically require the landlord to:

• Keep the property in a safe and adequate state of repair
• Have a gas safety certificate and, where required, an electrical safety certificate
• Fit and maintain working smoke alarms
• Deal with complaints about anti-social behaviour from tenants
• Ensure only the agreed number of people occupy the property
• Have proper tenancy agreements in place

Some councils go further and require energy efficiency improvements or specific standards for kitchen and bathroom facilities.

What if your landlord does not have a licence?

If your landlord is required to hold a selective licence but has not applied for one, they are committing a criminal offence. The council can:

• Prosecute the landlord and impose a fine
• Apply a civil penalty of up to £30,000
• Make an interim management order, effectively taking over management of the property

Additionally, if your landlord takes you to court for possession under Section 21 (no-fault eviction) while operating without a required licence, the court will refuse the claim.

Rent repayment orders and unlicensed landlords

If your landlord does not have a required licence, you may be able to apply to the First-tier Tribunal for a Rent Repayment Order (RRO). A successful application can require your landlord to repay up to 12 months' rent.

You can apply for an RRO yourself, or get help from a legal adviser.

Using licensing to raise disrepair issues

If your property is in a selective licensing area and your landlord has not met the licence conditions, for example, there is no valid gas safety certificate, or the property has disrepair that should have been picked up on a council inspection, you can report this to the council's housing enforcement team. They can inspect the property and enforce the licence conditions.

This is a separate route from a disrepair claim, but both can run at the same time. A council enforcement notice supports your position if you do go on to make a disrepair claim.

When should I contact Support for Tenants?

If your home has disrepair, whether or not it is in a selective licensing area, call us on 0800 030 4669.

No upfront cost. You only pay if you win, and the fee comes out of the compensation, not your pocket. If you don't win, you pay nothing.

Sources

• Housing Act 2004, Part 3 (selective licensing) (legislation.gov.uk)
• Housing and Planning Act 2016 (rent repayment orders) (legislation.gov.uk)

Related articles

• What is a rent repayment order?
• What is a Section 21 notice, is it still legal?