England · Housing Act 2004 Part 3 · Mandatory HMO Licence Exempts from Selective Licence · Temporary Exemption Notice (TEN) up to 6 Months · TEN Application and Appeal · Civil Penalties up to £30,000 · Rent Repayment Orders

Selective Licensing Exemptions UK 2026 — Landlord Guide to Exemptions, TENs, and Challenging Selective Licensing

Selective licensing exemptions guide for landlords 2026: not all properties in a designation area require a selective licence; statutory exemptions include properties with a mandatory HMO licence (complete exemption) and holiday lettings; Temporary Exemption Notice (TEN): up to 3 months (renewable once for 3 further months — 6 months total) where landlord cannot immediately comply; grounds for TEN (recent purchase; probate; licence application pending; property being sold); TEN application process; appeal to First-tier Tribunal within 28 days of TEN refusal; civil penalties up to £30,000 for letting without a licence; rent repayment orders (RROs) up to 12 months' rent; checking whether a property is in a selective licensing designation area; challenge to designation by judicial review.

10 min readUpdated 6 June 2026Last reviewed: 17 May 2026selective-licensinglicensingtemporary-exemption-noticehmo-licensing

Statutory exemptions — properties that do not require a selective licence

Properties with a mandatory HMO licence are completely exempt from selective licensing under s.79(3)(a) Housing Act 2004. Holiday lettings (not allowing occupation for more than 31 days at a time), student halls managed by educational institutions, properties let on long tenancies (over 7 years), and owner-occupied properties are also exempt. Properties managed by a registered social landlord or local authority are exempt. Whether additional HMO licensed properties are also exempt from selective licensing depends on the specific designation terms.

Temporary Exemption Notices (TENs) — applying and grounds

A TEN temporarily suspends the selective licensing requirement where compliance is not immediately practicable. Grounds: recent change of ownership; inherited property; licence application pending; property being sold; works required before licence conditions can be met. Duration: up to 3 months (renewable once for 3 further months — 6 months maximum). Apply in writing to the local authority's housing licensing team as early as possible. Include the property address, reason for the TEN, steps being taken to achieve compliance, and proposed period.

Challenging a TEN refusal — First-tier Tribunal

Appeal a TEN refusal to the First-tier Tribunal (Property Chamber) within 28 days of the local authority's decision. The Tribunal considers the merits and can confirm, reverse, or modify the local authority's decision. Challenge to the underlying designation itself is by judicial review (High Court) — possible where the council failed statutory consultation requirements (10-week minimum) or did not obtain Secretary of State confirmation for large designations. Civil penalty appeals: appeal to the First-tier Tribunal within 28 days of the final civil penalty notice.

Consequences of non-compliance and checking designation areas

Civil penalty up to £30,000 per property (from April 2024) for letting without a licence. Tenants can apply for an RRO of up to 12 months' rent; local authorities can apply on tenants' behalf. Both civil penalty and RRO can apply for the same unlicensed property. To check whether a property is in a designation area: check the local authority's website licensing map; search the Selective Licensing England database; enquire directly with the local authority; or review the LLC1 and Con29 local authority search. When buying a tenanted property in a selective licensing area, the new owner must apply for a TEN and then a licence immediately on completion — the previous owner's licence is not transferable.

Frequently asked questions

If my property already has a mandatory HMO licence, do I also need a selective licence?+

No. A property subject to mandatory HMO licensing is statutorily exempt from selective licensing under s.79(3)(a) of the Housing Act 2004. The mandatory HMO licence fulfils the licensing requirement — you cannot be required to hold both a mandatory HMO licence and a selective licence for the same property.

What is a Temporary Exemption Notice and how do I apply?+

A TEN suspends the selective licensing requirement for up to 3 months (renewable once for 3 further months — 6 months total). Apply in writing to the local authority's housing licensing team as soon as possible, explaining why compliance is not currently practicable. There is no automatic right to a TEN — the local authority has discretion.

Templates recommended in this guide

ComplianceLS-E-020

Landlord Annual Compliance Checklist

Annual walk-through of every compliance touchpoint: gas, electrical, EPC, smoke/CO, Right-to-Rent, deposit, licensing, database registration.

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