The Peterborough Selective Licensing Scheme launched on 11 March 2024. This means that property owners who privately rent their properties in designated areas of the city need to apply for a licence.
We have provided below all the information you need to know about how the Selective Licensing Scheme works. Please read this through carefully.
Home Safe is overseeing the administration of the Selective Licensing Scheme as our direct partner. You must apply directly to Home Safe via their website.
The Home Safe website contains the information you need to apply. They have officers available to guide you through the application process.
The Housing Act 2004 gives councils the power to require residential landlords to obtain a licence to let property to tenants within a designated area.
The aim is to improve the quality of life for all in the area by ensuring a consistent high standard of management of private rented homes. This makes a positive contribution to the area.
The designated area has a high level of private rented housing. The criteria to be considered as ‘high level’ is for an area to have above 23.5% private rented housing. If this level is reached, we can introduce Selective Licensing if an area satisfies one or more of the following conditions:
Low housing demand (or is likely to become such an area)
A significant and persisted problem caused by anti-social behaviour
Poor property conditions
High levels of migration
High levels of deprivation
High levels of crime
Selective Licensing is a scheme that requires most private rented properties to be licensed. It means that houses need to be licensed where they have one or two tenants or a family living there. Although the legislation refers to ‘houses’, this does cover a variety of housing types, such as flats. The scheme provides for the regulation of ‘houses’ as defined by Section 99 of the Housing Act 2004.
Licensing helps identify rogue landlords who impact negatively on the reputation of private landlords. It will improve the rental market across Peterborough by raising standards, whilst also supporting responsible landlords with tenancy disputes and troublesome and anti-social tenants. Landlords will benefit from a more professional and robust market and more sustainable tenancies.
Licensing helps identify and penalise rogue landlords who are responsible for:
Creating poor housing conditions
Limiting the rental choices available to Peterborough residents
It will improve the rental market across the city by raising housing and management standards in properties and by supporting tenants.
Selective Licensing in Peterborough
On 4 December 2023, the Secretary of State approved the introduction of Selective Licensing in designated areas of Peterborough. This means that any property rented out within the private rented sector in these areas will require a licence.
The Selective Licensing Scheme began on 11 March 2024 and will run for five years until 10 March 2029. We may renew the scheme at the end of the five year period.
Which properties in the designated areas fall under the Selective Licensing Scheme
Selective Licensing is a licensing scheme for landlords who privately rent properties that meet the below criteria and fall within the designated areas for Selective Licensing.
Each individual property you own within the designated areas requires a licence.
A privately rented property could fall under the Selective Licensing Scheme if there is:
One occupant
More than one occupant who forms one household (e.g. a family) or
Two unrelated individuals who form two households (e.g. two friends)
Exempt properties
Some privately rented properties are not required to hold a Selective Licence. Examples of statutory exemptions include:
Council and housing association tenancies
Holiday lets
Properties with tenancies exceeding 21 years
Care homes and similar institutions
Student accommodation operated by the college / school
Business tenancies
Properties where the council has taken action to close a property down
Licensable HMOs (Houses in Multiple Occupation) under Part 2 of the Housing Act 2004
Where temporary exemption notices are in force
Please see our 'further information' section lower down this page where we have a drop down box with more details on exemptions.
For every licence there must be a named licence holder. We have a duty to grant a licence to the most appropriate person. In most circumstances, this would be the owner of the property. In some circumstances however, it may be a leaseholder or a manager / managing agent. It is the owner’s responsibility to ensure that an application for a licence is made for their property.
The proposed licence holder must have the power to:
Collect rental income
Set up and terminate tenancies
Access all parts of the dwelling
Authorise repairs and maintenance to the property
If the owner nominates a managing agent to be the proposed licence holder, they must have the power to undertake the listed conditions above. The licence holder will be bound by the licence conditions and should be competent.
Licences are not transferable. Therefore if the licence holder needs to be changed, a new licence application and fee payment will be required.
If the proposed licence holder is not available to manage the property, it is advisable to appoint a local manager who is authorised to deal with emergency repairs and any issues concerning antisocial behaviour. If a company applies to be licence holder, they must nominate an appropriate person to hold the licence within that company. The named licence holder will be the person responsible for complying with all the licence conditions.
How long it takes to get a licence and the validity period
It may take up to 26 weeks after receiving your complete application to grant or refuse a licence. Timescales may vary depending on the number of applications we’re processing at the time.
This will be followed by a 14 day consultation period which gives you and all interested parties the chance to ask questions, challenge our decision or make comments. We will give you the notice of the grant or refusal of a licence, as well as a copy of the licence at the end of this consultation period.
Once you have a Selective Licence, it is valid until the end of the five year period that the scheme runs for.
Licences cannot be transferred to another person if you sell the property or the current licence holder dies. See our further information drop down boxes for more details on these scenarios.
Licence fees
The fee is broken down into two parts. Part A covers the costs associated with processing the licence application. Part B covers the cost of compliance actions relating to the scheme. Both parts are to be paid when the application is submitted. If a licence is rejected or otherwise not issued, only the Part B fee will be refunded.
All other applications for the duration of the Selective Licensing scheme becoming operative:
Part A fee = £538 Part B fee = £370 Total fee = £908
Other licensing schemes - Houses in Multiple Occupation (HMOs) and Additional Licensing
Selective Licensing is not the only licensing scheme covering residential properties in Peterborough.
If your property is already licensed under one of the following schemes, you will not need a licence under the Selective Licensing Scheme.
If you already have a Mandatory HMO Licence, you do not need to apply for a Selective Licence.
If you own an HMO containing three or four persons, which is inside the Selective Licensing designation area, you are required to hold a Selective Licence.
Additional Licensing
We will run a consultation into Additional Licensing in 2024. This scheme would cover all HMOs which contain three or four persons. We will provide further information on the consultation nearer the time.
Should an Additional Licensing Scheme come into effect during the lifetime of the Selective Licensing Scheme, your licence will be automatically passported across to the Additional Licensing Scheme.
Civil penalties
It is an offence for a landlord to rent a property in a designated area without applying for a Selective Licence. Landlords with unlicensed rented properties can face a financial penalty notice of up to £30,000 or an unlimited fine from the court. Landlords could also be ordered to repay up to 12 months' rent.
Report an unlicensed property
If you are aware of a property that requires a Selective Licence but doesn't have one, please report to us via the online form below. You can remain anonymous if you wish.
Prohibition of occupation by law - A tenancy or licence of a house or a dwelling within a house where the house or the dwelling is subject to a prohibition order made under section 20 of the Act the operation of which has not been suspended under section 23.
Certain tenancies which cannot be assured tenancies - A tenancy which cannot be an assured tenancy by virtue of section 1 (2) of the Housing Act 1988 comprised in Part of Schedule 1 of the Act and which is:
a business tenancy under Part II of the Landlord and Tenant Act 1954
a tenancy under which the dwelling-house consists of or comprises premises, which, by virtue of a premises licence under the Licensing Act 2003, may be used for the supply of alcohol (within the meaning of Section 14 of that Act) for consumption on the premises
a tenancy under which agricultural land, exceeding two acres, is let together with the house
a tenancy under which the house is comprised in an agricultural holding or the holding is comprised under a farm business tenancy if it is occupied (whether as tenant or as a servant or agent of the tenant), in the case of an agricultural holding, by the person responsible for the control of the farming of the holding, and in the case of a farm business tenancy, by the person responsible for the control of the management of the holding.
Tenancies and licences granted etc by public bodies - A tenancy or licence of a house or dwelling within a house that is managed or controlled by:
a local housing authority
a police authority established under section 3 of the Police Act 1996 or the Metropolitan Police Authority established under section 5B of that Act
a fire and rescue authority under the Fire and Rescue Services Act 2004; (d)
a health service body within the meaning of section 4 of the National Health Service and Community Care Act 1990.
Tenancies, licences etc regulated by other enactments - A tenancy, licence or occupation of a house which is regulated under the following enactments:
sections 87 to 87D of the Children Act 1989
section 43 (4) of the Prison Act 1952
section 34 of the Nationality, Immigration and Asylum Act 2002
The Secure Training Centre Rules 1998
The Prison Rules 1999
The Young Offender Institute Rules 2000
The Detention Centre Rules 2001
The Criminal Justice and Court Service Act 2000 (Approved Premises) Regulations 2001
The Care Homes Regulations 2001
The Children’s Homes Regulations 2001
The Residential Family Centres Regulations 2002
Certain student lettings etc - A tenancy or licence of a house or a dwelling within a house which is:
managed or controlled by a specified educational establishment or is of a specified description of such establishments and
the occupiers of the house or dwelling are undertaking a full time course of further or higher education at the specified establishment 16 and
the house or dwelling is being managed in conformity with an Approved Code of Practice for the management of excepted accommodation under section 233 of the Act
Long leaseholders - A tenancy of a house or a dwelling within a house provided that:
the full term of the tenancy is for more than 21 years and
the tenancy does not contain a provision enabling the landlord (or his successor his in title) to determine it other than by forfeiture, earlier than at the end of the term and
the house or dwelling is occupied by a person to whom the tenancy was granted or his successor in title or by any members of either of those person’s family.
Certain family arrangements - A tenancy or licence of a house or a dwelling within a house where:
the person who has granted the tenancy or licence to occupy is a member of the family of the person who has been granted the tenancy or licence and
the person who has granted the tenancy or licence to occupy is the freeholder or long leaseholder of the house or dwelling and
the person occupies the house or dwelling as his only or main residence (and if there are two or more persons at least one of them so occupies).
Holiday lets - A tenancy or licence of a house or a dwelling within a house that has been granted to the person for the purpose of a holiday.
In some circumstances, a Temporary Exemption Notice may be issued where a property needs a licence, but will not soon, for example if a property is about to be sold. A temporary exemption notice lasts for three months. You can renew for an extra three months in special circumstances. If the property still needs a licence after this period, you must apply for a property licence straightaway.
Yes, all landlords applying for a licence will have to have a ‘fit and proper’ person check. This will include things like:
Any unspent housing convictions, offenses involving fraud, violence, or drugs
Any offence listed in the Schedule 3 to the Sexual Offences Act 2003
Any unlawful discrimination on the grounds of sex, colour, race, ethnic or disability in connection with the carrying out of any business
An offence for not having a licence cannot be committed once an application has been duly made. This means you have completed the application form, provided all relevant safety certificates and floor plan, and paid the appropriate fee.
Some licence conditions can alter from property to property. You can find a copy of the likely draft terms and conditions on this page.
Yes, a 12 week consultation ran from Thursday 20 January 2022 to Wednesday 13 April 2022.
In most circumstances, the property owners will be required to hold the licence, not managing agents. Only where there is a deliberate attempt to evade licensing, or a property has significant hazards will we instigate formal action.
Yes, there is an appeal process to follow which would be notified to landlords as part of their decision letter.
Licensing should not affect your current rent. It is contractually agreed between you and your landlord through the terms and conditions of your tenancy agreement.
A property licence may not be transferred to another person. If the licence holder dies while the licence is in force, the licence is terminated. The personal representatives of the licence holder should contact us as soon as is possible. During the initial period of three months beginning with the date of the licence holder’s death, a temporary exemption notice is automatically applied to the house. If notification is received from the personal representatives within six months of the death of a licence holder, then the licence can be applied for by the next of kin or person in control of the inherited property and the licence will be valid for the remainder of the original licence term.
If the property is unsuitable for the number of tenants currently accommodated, landlords will be issued a licence stating the number for which it is suitable. If this is more than currently accommodated, then landlords may keep their existing tenants until the expiry of the current tenancy and then not re-let the undersized room or rooms. No new occupiers should be admitted until occupiers match the number permitted on the licence.
A resident landlord (owner) and family may share a house with one or two unrelated lodgers without the need for a licence. A third lodger means the house is an HMO and it must be licensed.
If the applicant is found not fit and proper, a licence cannot be granted. The landlord would need to:
Hand over all aspects of the property management to a non-related agent or
Remove it from the rental market
If the property is occupied, we can make a Management Order to take over the running of the tenancy.
No, we are not permitted to receive financial gain from the licence fees obtained. Any licence fee charged would only cover costs associated with administering and enforcing the scheme over the designated period.
You could get a criminal conviction upon prosecution and a possible unlimited fine per condition breached or a civil penalty of up to £30,000 per offence. Multiple civil penalties could lead to you being placed on the Peterborough or National Rogue landlord database.
When the council officer or licensed surveyor inspects the premises, you will be advised what work is necessary to comply with the standards. We can set conditions with the licence to incorporate any areas where the property fails to meet the standards. Any conditions of the licence would need to be complied with in a reasonable time frame.
Yes. Please see the section of this page called 'licensing fees'.
If we are unable to grant a licence, we can apply to issue an Interim Management Order (IMO), which if granted, allows us to step in and manage the property. The owner keeps their rights as an owner. This order can last up to a year until suitable permanent management arrangements can be made. If the IMO expires and there has been no improvement, we can apply for a Final Management Order. If granted, this can last up to five years and can be renewed.
Yes, each individual property within the designated area requires a licence.
If you sold a property during a Selective Licensing scheme, you must contact us so that the existing licence can be revoked. The purchaser would need to apply for a new license if they still want to rent out the property as selective licences cannot be transferred from one person to another. You would not be entitled to a refund if you sell the property.
Property inspections will take place over the course of the five-year period. This can either happen before or after the licence is granted. During the five-year period of any scheme, we will also respond to any complaints about the property and use its existing enforcement powers to deal with any issues that are not covered under the selective licensing conditions.
The licence can only be issued to one named person. Joint owners would have to nominate one owner to be the licence holder.
Yes. Licences are only valid for the length of the scheme. All privately rented properties in the new designated area will need to hold a licence under this scheme, whether a licence was held during the last scheme or not.
You will only be entitled to a refund if:
Your property doesn't need a licence at the time of application (for example, it falls under one of the exemptions)
You make a duplicate application
You will not be entitled to a refund if:
You subsequently sell the property after the licence has been issued
The council revokes your licence
The council varies your licence and reduces the amount of time it remains operationally valid
You are refused planning permission
Our fees are not connected to the length of a licence. If you cancel your licence before it expires, we cannot give you a refund for any unused time.
You will receive a refund of the Part B fee only if:
The council refuses your application and does not grant a licence
You subsequently sell the property at any point during the application process
You withdraw your application at any point during the application process”
Information for overseas landlords
Yes, if your property requires a licence, you must make sure it is licensed. You must appoint a person or company in the UK who can hold the licence for you.
Yes, it is a small risk because you will take on legal liability for complying with the licence conditions or receiving statutory notices from the council. You can minimise that risk by making sure there will be robust management arrangements in place before you sign your contract with the property owner. We advise that you scrutinise the licence conditions in advance and determine exactly what is needed for you to comply in full over the term of the licence. For example, among other things there need to be arrangements for:
Dealing with emergencies inside and outside office hours.
Efficiently carrying out repairs and improvements to the property if a defect occurs or if the council identify hazards (including arrangements for funding such works)
For addressing complaints of nuisance to other properties or of anti-social behaviour by the tenants
Not usually, unless there are very serious breaches. We usually try to work with the licence holder to rectify any problems at the property, avoiding enforcement where we can. We only take legal action against the worst landlords, or where licence holders have not addressed problems that we have brought to their attention.
The law forbids the transfer of the licence from one person to another, so you will have to apply for a new licence. For this reason, you will want to discuss the proposed management arrangements fees etc with the agent before signing the contract to make sure that you are completely happy with them.
A new scheme to improve standards of private rental housing in Peterborough has attracted over 7,000 applications from landlords since its launch in March.
A new licensing scheme drawn up by Peterborough City Council which will improve standards of accommodation in the private rented sector has been given the go-ahead.
