Selective licensing

Selective licensing lets a council require a licence for ordinary private rented homes, not just HMOs, within a designated area. It is the scheme most likely to catch landlords by surprise, because it can apply to a single-family let on one side of a street and not the other.

What selective licensing covers

Under Part 3 of the Housing Act 2004, a council can designate an area where most or all privately rented homes must be licensed. It is used to tackle low housing demand, antisocial behaviour, deprivation, poor property conditions or migration pressures.

Unlike HMO licensing, it does not depend on how many people share the property. A house let to a single family still needs a selective licence if it sits in the designated area.

Where it applies

Schemes are designated street by street or ward by ward, so coverage is very local. Cities like Nottingham, Liverpool, Birmingham, Newham and County Durham run large schemes; many others cover just a handful of streets.

Since December 2024 councils no longer need Secretary of State approval to designate schemes of any size, which is driving rapid growth. Always check the current designation map for your exact address rather than assuming a whole town is or is not covered.

Fees and how to apply

Selective licence fees typically range from around £500 to £1,000 for five years, usually split into a Part A application fee and a Part B fee payable on grant. Many councils offer discounts for accredited landlords or good EPC ratings.

You apply through the council (or its delivery partner). You will need to be a fit and proper person and meet management and safety conditions, including gas and electrical safety certificates and working alarms.

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Frequently asked questions

How do I know if my property is in a selective licensing area?

Check your address against the council's designation map or street list. Because schemes are often drawn at street level, a postcode alone is not always enough. Our checker identifies whether your council runs a scheme, and the paid report gives the property-specific position with the council source link.

What happens if I let an unlicensed property in a selective area?

You risk a civil penalty of up to £40,000, a rent repayment order of up to 24 months' rent, and prosecution with an unlimited fine. You may also be unable to regain possession while unlicensed.

PRSCheck is an information service based on published legislation and council designations, not legal advice. Figures current as of July 2026.