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What is selective licensing?
By the VoxaMTD team. Last verified 31 October 2026
Selective licensing is a council scheme that requires landlords in a designated area to hold a licence for each privately rented property there. Under Part 3 of the Housing Act 2004, a council can designate the whole or part of its area for up to 5 years.
A council can only use the power where the area has one or more listed problems: low housing demand, a significant and persistent problem with anti-social behaviour, poor housing conditions, high levels of migration, high levels of deprivation or high levels of crime. For the last four, the area must also have a high proportion of privately rented homes. Certain exemptions apply, and HMOs licensed under Part 2 are excluded.
The council must consult people likely to be affected. The guide says it should consult on the proposed scheme for at least 10 weeks. The guide was updated on 16 December 2024, and says that since 23 December 2024 councils no longer need confirmation from the Secretary of State for a scheme of any size. Check your council's website to see whether your street is inside a designated area, because licence fees and conditions are set locally.
Read next
- What is Selective licensing? →
- Landlord Compliance Checklist 2026 (UK) →
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