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Selective Licensing 2026: 60+ Schemes and Growing

What Is Selective Licensing?

Selective licensing is a scheme that allows local councils in England to require all private landlords in a designated area to obtain a licence before they can legally let a property. It was introduced by Part 3 of the Housing Act 2004 to tackle poor housing conditions, antisocial behaviour, and low housing demand in areas with high concentrations of private rented housing.

A selective licence covers all private rented properties in the designated area, not just HMOs (which have their own mandatory and additional licensing regime). This means even a landlord renting out a single flat in a selective licensing area must obtain a licence.

The licence typically lasts 5 years and comes with conditions that the landlord must meet, such as:

  • Providing gas safety certificates annually
  • Maintaining valid EPC certificates
  • Keeping the property in good repair
  • Managing antisocial behaviour from tenants
  • Providing references for prospective tenants
  • Fitting adequate smoke and carbon monoxide alarms

Operating a rental property without a licence in a selective licensing area is a criminal offence. Landlords face civil penalties of up to £30,000, criminal prosecution, and tenants can apply for rent repayment orders of up to 24 months' rent.

No More Secretary of State Approval

One of the most impactful changes under the Renters' Rights Act 2025 is the removal of the requirement for Secretary of State approval for selective licensing schemes. Previously, councils needed explicit ministerial sign-off for any scheme covering more than 20% of their area or 20% of their private rented stock. This process was slow, bureaucratic, and often resulted in schemes being watered down or rejected.

Since December 2024, councils can introduce selective licensing schemes without central government approval, provided they follow the consultation requirements and the scheme covers no more than 20% of their geographical area or 20% of their private rented properties.

For larger schemes, councils must still consult but do not need ministerial approval. This has removed the single biggest barrier to selective licensing and triggered a wave of new schemes across England.

The impact has been immediate. In the six months following the change, over 15 new selective licensing consultations were launched by councils that had previously been deterred by the approval process.

Councils with Active or Planned Schemes

As of April 2026, over 60 councils across England have active, approved, or planned selective licensing schemes. Here is a selection of the most notable:

London boroughs:

Newham (borough-wide, one of the first and largest)
Barking and Dagenham (borough-wide)
Waltham Forest (borough-wide)
Brent (multiple wards)
Tower Hamlets (selected wards)
Haringey (selected wards)
Croydon (borough-wide)

Major cities:

Liverpool (city-wide)
Nottingham (city-wide)
Burnley (selected areas)
Blackpool (selected areas)
Middlesbrough (selected areas)
Bradford (selected areas)
Coventry (selected areas)
Sheffield (selected areas)

Other notable schemes:

Thanet (selected wards)
Hastings (town-wide)
Hyndburn (selected areas)
Pendle (selected areas)
Stoke-on-Trent (selected areas)

This list is not exhaustive and is growing rapidly. To check whether your rental property is in a selective licensing area, contact your local council's housing team or use our landlord register tool which cross-references known licensing schemes.

Licence Fees and Costs

Selective licensing fees vary by council but typically range from £500 to £1,000 per property for a 5-year licence. Some councils offer discounts for:

  • Early applications (before the scheme starts): Typically 10-20% discount
  • Accredited landlords (members of a recognised landlord accreditation scheme): 10-15% discount
  • Multiple properties: Reduced per-property fee for landlords with portfolios

Here are some example fees:

| Council | Standard fee (5 years) | Early bird / discounted |

|---------|----------------------|------------------------|

| Newham | £600 per property | £500 (accredited) |

| Liverpool | £780 per property | £585 (early bird) |

| Nottingham | £780 per property | £610 (early bird) |

| Croydon | £750 per property | £600 (early bird) |

| Burnley | £595 per property | £495 (early bird) |

Landlords cannot pass the licence fee on to tenants. It is a business cost borne by the landlord. Under the Tenant Fees Act 2019, any attempt to charge tenants for licensing is a prohibited payment.

The fee structure must be split into two parts: Part A (processing the application) and Part B (enforcement and monitoring). If the application is refused, only Part A is retained.

Penalties for Unlicensed Properties

Operating a rental property without a licence in a selective licensing area carries serious consequences:

Civil penalties:

Councils can impose civil penalties of up to £30,000 per offence. The starting amount varies by council, but typically ranges from £5,000 to £15,000 for a first offence.

Criminal prosecution:

Alternatively, councils can prosecute the landlord in the magistrates' court. The maximum fine is unlimited.

Rent repayment orders:

Tenants can apply for a rent repayment order of up to 24 months' rent (increased from 12 months by the Renters' Rights Act 2025). This is one of the most common uses of RROs.

No Section 8 notices:

An unlicensed landlord cannot serve a valid Section 8 eviction notice. If they attempt to do so, the notice is invalid. Some courts have ruled that tenancies granted while unlicensed are themselves unenforceable in the landlord's favour.

These penalties create strong financial incentives for compliance. For a landlord charging £800/month, a 24-month RRO could mean repaying £19,200 to the tenant, on top of a civil penalty.

If you suspect your landlord does not have a selective licence, check with your council and consider applying for an RRO. Use our landlord check tool to start investigating.

How to Check If Your Area Has Selective Licensing

Here are the best ways to find out if your rental property is in a selective licensing area:

1. Contact your local council: The housing or environmental health department can confirm whether a scheme is in place and whether your property is covered. Most councils have a searchable register of licensed properties on their website.

2. Check the council's website: Search for "selective licensing" on your council's website. Active schemes will have a dedicated page explaining the designated area, fees, and how to check.

3. Use our landlord register tool: Visit rentercheck.co.uk/landlord-register to check your postcode against known selective licensing areas.

4. Search the London Rogue Landlord Checker: If you are in London, the Greater London Authority operates a rogue landlord checker that includes licensing information.

5. Ask your landlord or agent: They are legally required to have a licence if the property is in a selective licensing area. Ask them for the licence number and check it against the council's register.

If you discover your property should be licensed but is not, this is a significant finding. You may be entitled to a rent repayment order covering up to 24 months of rent. Document your findings and seek advice from your council, Shelter (0808 800 4444), or Citizens Advice.

Frequently Asked Questions

Over 60 councils across England have active, approved, or planned selective licensing schemes as of April 2026. The number is growing rapidly since the removal of Secretary of State approval requirements in December 2024.

Fees vary by council, typically ranging from £500 to £1,000 per property for a 5-year licence. Discounts are often available for early applications and accredited landlords. The landlord pays the fee; it cannot be passed on to tenants.

The landlord faces civil penalties of up to £30,000, cannot serve valid Section 8 eviction notices, and you can apply for a rent repayment order of up to 24 months' rent. Report the situation to your local council.

No. Selective licence fees are a business cost borne by the landlord. Any attempt to pass the fee to tenants would breach the Tenant Fees Act 2019, which prohibits landlords from charging tenants for costs related to the letting.

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Disclaimer

This article provides general information about tenant rights in England based on legislation current as of 2026. It is not legal advice. Laws differ in Scotland, Wales, and Northern Ireland. If you need help with a specific situation, contact Shelter (0808 800 4444) or Citizens Advice.