Selective licensing and additional licensing are both discretionary powers under the Housing Act 2004, but they apply to different types of property and are triggered by different conditions. Understanding which scheme applies to your property is essential for compliance.
The fundamental difference is the type of property each scheme targets:
Selective licensing applies to all private rented properties in a designated area, regardless of size, type, or number of occupants. A single-occupancy flat in a selective licensing area requires a licence just as much as a five-bedroom shared house.
Additional licensing applies only to HMOs (houses in multiple occupation) in a designated area. A single-occupancy flat is not affected by an additional licensing scheme, but a shared house with three or more occupants forming two or more households is.
Both powers are granted by the Housing Act 2004, but under different Parts:
The designation conditions also differ. A selective licensing designation requires evidence of problems such as low housing demand, anti-social behaviour, or high levels of deprivation. An additional licensing designation requires evidence that a significant proportion of HMOs in the area are being managed ineffectively.
| Property type | Selective licensing | Additional licensing |
|---|---|---|
| Single-occupancy flat | Yes (if in designated area) | No |
| Family home let to one family | Yes (if in designated area) | No |
| Shared house, 3 occupants, 3 households | Yes (if in designated area) | Yes (if in designated area) |
| Shared house, 5+ occupants | Yes (if in designated area) | Yes (if in designated area) + mandatory HMO licence |
| HMO with 5+ occupants | Yes (if in designated area) | Yes (if in designated area) + mandatory HMO licence |
Note: A property can require both a selective licence and a mandatory HMO licence if it is in a selective licensing area and meets the mandatory HMO threshold. In practice, councils issue a combined licence in this situation.
Many councils operate both selective and additional licensing schemes simultaneously. Examples include:
In these areas, a landlord with a shared house must check whether they need a selective licence, an additional HMO licence, or both. Use the Tuxa property licence checker to check the specific requirements for any address.
Fees for selective and additional licences are broadly similar, typically ranging from £400 to £1,000 per property for a five-year term. The conditions attached to each licence type differ:
Use the Tuxa property licence checker to check any UK address. The checker will identify all active schemes covering the property, including selective, additional, and mandatory HMO licensing requirements.
Last reviewed March 2026 by Ben Yarrow, founder of Tuxa.