Selective or additional licence where the council has a designation

Either (a) the property is an HMO of a description covered by an additional licensing designation (for example 3 or 4 people from 2 or more households) in the council's designated area, or (b) the property is a privately rented house or flat in a selective licensing area and is not already required to have an HMO licence or exempt.

Apply for and hold the licence required by the council's designation before letting (or rely on a duly made application or temporary exemption notice), and comply with the licence conditions, including the national mandatory conditions on gas certificates, electrical and furniture safety declarations, smoke and CO alarms, and written terms of occupation.

Deadline

Ongoing

Designations last up to 5 years. Check the council's scheme dates in the licensing dataset.

• Additional or selective licence and its conditions
• Copy of the application if pending

Civil penalty

Up to £40,000

Criminal offence

Yes, you can be prosecuted

Rent repayment

A rent repayment order can be made

Other consequences

Letting without a required licence is an offence (s.72(1) for additional HMO licensing, s.95(1) for selective licensing): unlimited fine on prosecution or a civil penalty of up to £40,000 for offences on or after 1 May 2026 (£30,000 before); statutory guidance starting levels are £17,000 (additional HMO) and £12,000 (selective). Rent repayment orders of up to 2 years' rent. Breaching licence conditions is a separate offence. Possession: the old bar on section 21 notices (ss.75 and 98) was omitted from 1 May 2026; mandatory Ground 6B (four months' notice) is available where a licence was refused or revoked or occupation exceeds the licensed limit.

• Housing Act 2004, s.56 (additional licensing designations)legislation.gov.uk
• Housing Act 2004, s.80 (selective licensing designations)legislation.gov.uk
• Housing Act 2004, s.85 (Part 3 houses must be licensed)legislation.gov.uk
• Housing Act 2004, s.72 (HMO licensing offences)legislation.gov.uk
• Housing Act 2004, s.95 (selective licensing offences)legislation.gov.uk
• Housing Act 2004, s.249A (civil penalty up to £40,000)legislation.gov.uk
• Housing and Planning Act 2016, s.40 (rent repayment orders)legislation.gov.uk
• Housing Act 1988, Schedule 2 Ground 6Blegislation.gov.uk
• Housing Act 2004, s.98 (section 21 restriction, omitted from 1 May 2026)legislation.gov.uk

Official guidance

Generic rule: whether a designation applies, and to which properties, is council-specific and should be resolved from the licensing dataset. Uses an any_of condition so one rule covers both scheme types.

• Mandatory HMO licence (5 or more people, 2 or more households)In force since 1 October 2018Fine up to £40,000

  An HMO occupied by 5 or more people forming 2 or more households must be licensed by the council, anywhere in England.