Landlord Licensing by Borough: How Selective Licensing Works in 2026

Three types of landlord licensing

UK landlord licensing falls into three categories:

1. Mandatory HMO licensing (national): all HMOs occupied by 5 or more people from 2 or more households must be licensed

2. Additional HMO licensing (local discretion): councils can extend HMO licensing to smaller HMOs in their area

3. Selective licensing (local discretion): councils can require all private landlords in a designated area to hold a licence regardless of HMO status

The first applies everywhere in England. The second and third are designated by individual councils through formal consultation, and they vary widely between areas.

Mandatory HMO licensing

Since 2018, all HMOs occupied by 5 or more people from 2 or more households (regardless of the building height or storey count) must be licensed. The licence is granted by the local authority and lasts up to 5 years. Fees vary but typically £500 to £1,500 per HMO.

The landlord must demonstrate:

• The property meets the council's HMO standards (room sizes, fire safety, kitchen and bathroom provision)
• The landlord is "fit and proper" (no relevant criminal convictions)
• The property has appropriate insurance

Operating an unlicensed mandatory HMO is a criminal offence punishable by an unlimited fine plus a Rent Repayment Order requiring the landlord to repay up to 12 months of rent to the tenants.

Additional HMO licensing

Local councils can extend HMO licensing to smaller HMOs (2 to 4 occupants from 2 or more households) by designating an additional licensing area. The council must run a formal consultation and get approval from the Secretary of State before the scheme starts.

Additional licensing typically targets areas with high concentrations of small HMOs where the council wants more oversight on safety and management standards. The licence terms are similar to mandatory HMO licensing.

Selective licensing

Selective licensing requires all privately rented properties in a designated area to hold a licence, regardless of HMO status. Councils use selective licensing to address areas with:

• High deprivation
• Poor housing conditions
• Anti-social behaviour
• Low property demand
• High crime
• Migration

Selective licensing schemes typically last 5 years before being reviewed. The fee is typically £500 to £1,200 per property.

How to check whether your property needs a licence

Each local authority publishes its current licensing schemes on its housing or licensing webpage. Search for "[council name] selective licensing" or "[council name] additional licensing" to find the current designation maps and criteria.

Alternatively, contact the council's housing or environmental health team directly.

Property Passport UK shows the local authority for every property in England and Wales at [/search](/search). Once you know the local authority, you can check that authority's licensing webpage to see whether your property is in a designated area.

Penalties for operating without a licence

The penalties are severe:

• Criminal prosecution with unlimited fine on conviction
• Civil penalty of up to £30,000 per offence (alternative to prosecution)
• Rent Repayment Order requiring repayment of up to 12 months of rent to the tenant
• Banning order preventing the landlord from operating in the future
• Section 21 invalidation preventing the landlord from serving a no-fault eviction notice
• Inclusion on the rogue landlord database

The Rent Repayment Order alone can be financially devastating: a £1,200 per month rent over 12 months is £14,400 returned to the tenant.

How to apply

1. Confirm whether your property needs a licence (mandatory, additional, or selective)

2. Read the council's licence application guidance

3. Submit the application form with required documents (gas safety, electrical certificate, EPC, EICR, building insurance, ID, fit and proper declaration)

4. Pay the licence fee

5. Council inspects the property if required

6. Licence issued (typically 4 to 12 weeks)

Renewal

Licences last up to 5 years and must be renewed before expiry. The council usually contacts the landlord ahead of expiry, but the responsibility is on the landlord to ensure renewal happens in time.

Verify your property data

Before applying for any licence, verify your EPC rating and other property facts on Property Passport UK at [/search](/search). The platform shows the official EPC from the EPC Register, which is one of the documents required for most licence applications. If your EPC is below E, you need to address it under the MEES regulations before any licence will be granted.

Look up any UK property on Property Passport UK

Property Passport UK is the national property data registry for England and Wales. Verified data on every one of the 19.35 million properties from HM Land Registry, the EPC Register, Ordnance Survey, and the Environment Agency. Free, no account required. Search any address at [/search](/search).