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Property Licensing

Selective Licensing &
HMO Licensing for Landlords

More than 60 local authorities in England now operate selective licensing schemes. Operating a licensable property without a licence is a criminal offence carrying unlimited fines and rent repayment orders. PDA Law helps landlords understand their obligations and navigate the licensing process.

Types of Property Licensing

There are three types of property licensing scheme in England. Understanding which applies to your property is the first step to compliance.

Mandatory

Mandatory HMO Licensing

Required for all HMOs with 5+ occupants forming 2+ households across 3+ storeys. Applies nationally.

Discretionary

Additional Licensing

Discretionary scheme for smaller HMOs not covered by mandatory licensing. Introduced by individual councils.

Area-Based

Selective Licensing

Applies to all private rented properties in a designated area, regardless of property type or occupancy.

Penalties for Operating Without a Licence

Operating a licensable property without a licence is a criminal offence under the Housing Act 2004. The consequences can be severe and long-lasting.

Unlimited fine on conviction
Magistrates' courts can impose unlimited fines for operating without a licence.
Civil penalty up to £30,000
Local authorities can issue civil penalties without going to court.
Rent Repayment Order
Tenants can apply for a court order requiring repayment of up to 12 months' rent.
Licence refusal
A criminal conviction may result in being refused a licence in future, preventing you from letting the property.

How PDA Law Can Help

  • Advise on whether your property requires a licence
  • Assist with licence applications
  • Challenge licence conditions you consider unreasonable
  • Defend against civil penalty notices
  • Represent you in criminal proceedings
  • Advise on HMO standards and compliance
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Frequently Asked Questions

What is selective licensing?
Selective licensing is a scheme that allows local authorities in England to require all private landlords in a designated area to obtain a licence, regardless of the type of property or number of occupants. It is used in areas with low housing demand, significant anti-social behaviour, or poor property conditions. Landlords must apply for a licence and meet certain standards to obtain one.
What is mandatory HMO licensing?
Mandatory HMO (House in Multiple Occupation) licensing applies to all HMOs in England that are occupied by 5 or more people forming 2 or more separate households, and which have at least 3 storeys. Landlords of these properties must obtain a licence from their local authority. Failure to do so is a criminal offence.
What is additional licensing?
Additional licensing is a discretionary scheme that local authorities can introduce to require licences for HMOs that fall outside mandatory licensing requirements. For example, a council might introduce additional licensing for all HMOs with 3 or more occupants in a particular area.
How do I know if my property is in a selective licensing area?
You should check with your local authority. Many councils publish maps of selective licensing areas on their websites. If you are unsure, contact the council's private sector housing team. PDA Law can also advise on whether your property is affected.
What are the penalties for operating without a licence?
Operating a licensable property without a licence is a criminal offence. Landlords can face an unlimited fine on conviction. Local authorities can also issue civil penalties of up to £30,000 per offence. Tenants can apply for a Rent Repayment Order, requiring the landlord to repay up to 12 months' rent.
What conditions are attached to a selective licence?
Licence conditions vary by local authority but typically include requirements to: maintain the property to a certain standard; carry out gas and electrical safety checks; provide tenants with prescribed information; manage anti-social behaviour; and ensure the property is not overcrowded. Failure to comply with licence conditions can result in the licence being revoked.

Not Sure if Your Property Needs a Licence?

PDA Law's landlord solicitors can advise on whether your property requires a licence, help you apply, and represent you if you face enforcement action.