What Is Selective Licensing in the UK? A Clear Guide for Landlords

Selective licensing is a legal requirement that applies to some privately rented properties in England. If you are a landlord, it is essential to understand whether your property falls within a selective licensing area and what your responsibilities are.

For landlords working with Crown Home Buying & Letting (CHBL), selective licensing can be managed as part of our lettings and property management service, ensuring your property remains compliant and professionally handled.

What Is Selective Licensing?

Selective licensing is a scheme introduced by local housing authorities under Part 3 of the Housing Act 2004. It allows councils to require private landlords to hold a licence for each rented property located within a designated area.

Unlike HMO licensing, selective licensing can apply to any privately rented property, including single-family homes and individual flats, provided they are within a designated zone.

Each property must hold its own licence, and the property must not be let unless a valid licence (or a valid application) is in place.

Why Do Councils Introduce Selective Licensing?

According to official government guidance, councils may introduce selective licensing where it will help address specific local housing and community issues, including:

  • Low housing demand
  • Poor housing conditions
  • Persistent anti-social behaviour
  • High levels of crime or deprivation
  • High population turnover or poorly managed private rented homes

The aim of selective licensing is to improve housing standards, encourage responsible property management, and protect tenants and local communities.

How Does Selective Licensing Affect Landlords?

If your property is located within a selective licensing area:

  • You must obtain a licence before letting the property
  • Each property requires a separate licence
  • You must comply with the licence conditions set by the local authority

Licence conditions commonly relate to:

  • Gas safety, electrical safety, and energy efficiency compliance
  • Smoke and carbon monoxide alarm installation
  • Property condition and ongoing maintenance
  • Proper tenancy and anti-social behaviour management
  • The landlord or managing agent being a “fit and proper person”

Selective licensing schemes are area-specific and usually time-limited, typically lasting up to five years.

What Happens If You Do Not Have a Selective Licence?

Letting a property without the required selective licence is a serious offence. Possible consequences include:

  • Civil penalties of up to £30,000 per property
  • Rent Repayment Orders requiring repayment of up to 12 months’ rent
  • Restrictions on serving a valid Section 21 notice
  • Further enforcement action or prosecution by the local authority

It is the landlord’s responsibility to check whether a licence is required, even if the council has not contacted you directly.

Selective Licensing and CHBL Landlords

At Crown Home Buying & Letting (CHBL), we manage selective licensing as part of our full lettings and property management service:

✔ Checking whether your property lies within a selective licensing area
✔ Preparing and submitting licence applications
✔ Communicating with the local authority on your behalf
✔ Maintaining compliance with licence conditions and renewals

This ensures your property meets its legal obligations without unnecessary stress or administrative burden.

Please note: the selective licensing application fee itself is not included within our standard management fee. Where landlords would like CHBL to complete and submit the application on their behalf, this service is available for an additional fee.
For further details, please contact our team.

Useful Resources for Landlords

Whether you already work with CHBL or are considering letting your property for the first time, the following resources may be helpful:

Landlord Guides

Practical advice on lettings, compliance, and property management

https://www.chbl.uk/en/landlord-guides

Let Your Property With Us

Learn how CHBL can maximise your rental return while managing compliance and tenants professionally

https://www.chbl.uk/en/let-your-property

Rental Yield Calculator

Estimate your potential rental income and investment performance

https://www.chbl.uk/en/rental-yield-calculator

Previously Let Properties

View properties we have successfully let and managed for landlords

https://www.chbl.uk/en/properties-for-rent/let-agreed

Summary

Selective licensing is a legal requirement that applies to privately rented properties in designated areas of England. Failure to comply can result in significant financial and legal consequences.

For landlords who instruct Crown Home Buying & Letting, selective licensing can be managed as part of our professional lettings and property management service, helping ensure your property remains compliant, well-managed, and protected.

If you would like advice on letting your property or would like to instruct CHBL, our team will be pleased to assist.

 

Contact Us

Please leave your message here, and a member of our team will get back to you within 24 hours. Alternatively, you can reach us at info@chbl.uk or call us at +44 (0) 207 903 6881.

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