Additional and Selective Licensing: Which Scheme Covers Your Property?
Mandatory, additional and selective licensing are three different schemes. What each one covers, how they interact, and how to find out which applies to you.
England has three licensing schemes for private landlords, and they are regularly described as one. They are not. One is national and about HMOs, one is local and about HMOs, and one is local and not limited to HMOs at all. This guide sets out what each one covers and how they fit together.
Correct as at 13 October 2026, against legislation.gov.uk and GOV.UK.
Mandatory licensing: the national HMO scheme
Mandatory licensing applies everywhere in England. Under Housing Act 2004 s.55(2)(a) and the Licensing of Houses in Multiple Occupation (Prescribed Description) (England) Order 2018, article 4, an HMO needs a licence if it:
- is occupied by five or more persons;
- is occupied by persons living in two or more separate households; and
- meets the standard test, the self-contained flat test (except a purpose-built flat in a block of three or more self-contained flats) or the converted building test in s.254.
That five-person figure is a licensing threshold, not the definition of an HMO. The definition in s.254 counts no heads at all. The HMO licence guide covers the tests and the mandatory scheme in detail.
Additional licensing: a local HMO scheme
A council can widen HMO licensing in its own area. Under s.56, it may designate all or part of its district as subject to additional licensing for a description of HMOs it specifies in the designation. That description can cover all HMOs in the area (s.56(4)).
Before designating, the council must:
- consider that a significant proportion of the HMOs of that description in the area are being managed sufficiently ineffectively as to give rise, or to be likely to give rise, to problems for the occupiers or for members of the public (s.56(2));
- consult, and consider the representations made (s.56(3)).
In practice, additional licensing is how an HMO with fewer than five occupiers can still need a licence. Whether it does depends entirely on whether your council has a designation in force, and what description of HMO it covers.
Selective licensing: a local scheme that is not about HMOs
Selective licensing is in a different Part of the Act, Part 3. Under s.80, a council may designate all or part of its district for selective licensing where one of two sets of conditions is met:
- the area is, or is likely to become, an area of low housing demand; or
- the area has a significant and persistent problem caused by anti-social behaviour, and private landlords are failing to take appropriate action to combat it.
Part 3 applies to a house in the designated area that is occupied under a tenancy or licence, or under two or more tenancies or licences of different dwellings in it (s.79(2)). So a house let to one family can need a selective licence, and can never need an HMO licence.
How the schemes interact
They do not stack. Under s.85(1)(a), a house does not need a selective licence if it is an HMO to which Part 2 applies, meaning an HMO that needs a mandatory or additional licence. That HMO is licensed under Part 2 instead.
| Your property | Scheme it may need |
|---|---|
| An HMO meeting the five-person, two-household test | Mandatory HMO licence, anywhere in England |
| A smaller HMO in an additional licensing area that covers its description | Additional HMO licence |
| A rented home in a selective licensing area, not needing an HMO licence | Selective licence |
The table describes the law. It cannot tell you which local designations are in force where your property is. Only your council can.
How to find out what applies to your property
There is no national register of designations and no single list of which councils run which schemes. GOV.UK's HMO licence page has a postcode search that takes you to your council. It also says, in its own words, that even a smaller property rented to fewer people may still need a licence depending on the area.
GOV.UK also says a licence is valid for a maximum of five years. Your council sets the actual period, the fee and the application process.
If a licence is needed and you do not have one
Managing or controlling an HMO that needs a licence and does not have one is an offence under s.72(1). Since 1 May 2026 it can be committed by a superior landlord as well. The equivalent offence for a house that needs a selective licence is in s.95. Both are relevant housing offences for which the council can impose a civil penalty of up to £40,000 instead of prosecuting (s.249A(2) and (4), since 1 May 2026; correct as at 13 October 2026).
Either offence can also lead to a Rent Repayment Order. For these offences the order can cover a period of not more than 2 years during which the landlord was committing the offence (Housing and Planning Act 2016 s.44, since 1 May 2026; correct as at 13 October 2026).
Keeping track of a licence
A licence has an expiry date, and the licensing answer itself can change if your council introduces or ends a designation. LetSorted records what your council told you about licensing, keeps the licence document, and reminds you before it expires: see how LetSorted handles HMOs. It does not decide whether a licence is needed; your council does.
Frequently Asked Questions
What is the difference between additional and selective licensing?
Additional licensing is a local scheme for HMOs: a council designates an area so that HMOs of a description it chooses need a licence even below the mandatory threshold (Housing Act 2004 s.56). Selective licensing is a local scheme for privately rented homes in a designated area and is not limited to HMOs (ss.79–80). An HMO that needs a mandatory or additional licence is licensed under that scheme, not the selective one (s.85(1)(a)). Correct as at 13 October 2026.
Can a single-family let need a licence?
Yes. A house let to one family can never need an HMO licence, but it can need a selective licence if the council has designated its area for selective licensing (Housing Act 2004 ss.79–80). Correct as at 13 October 2026.
How do I find out whether my area has a licensing scheme?
Ask your council. There is no national register. GOV.UK's HMO licence page has a postcode search that takes you to your council's licensing pages, and says that even a smaller property rented to fewer people may need a licence depending on the area.
How long does a property licence last?
A licence lasts a maximum of five years, according to GOV.UK. Your council sets the actual period and the fee.
This guide is for informational purposes only and does not constitute legal advice. Laws and regulations may change — always verify current requirements and consult a qualified solicitor for advice specific to your situation.
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