Selective licensing

Who should apply for a Selective Licensing licence and hold the licence

Who should apply for a licence?

The Housing Act does not state who should apply – it says who commits an offence if the property is not licensed.

Any person who is “in control” or “managing” a house that is required to be licensed but is not so licensed commits an offence.

If you receive rent, whether because you own the house or are an agent or any other person receiving rent, then you a person in control or managing a house.

This means the legal obligation to ensure an application is made so the house becomes licensed is with any person who receives rent.

The landlord or agent is usually the person who applies for the licence. The person who completes the application form is known as the “applicant”.

Who should hold the licence?

The person who holds the licence is the “licence holder”. Usually the landlord (owner) of the property or their managing agent holds the licence.

The legislation makes it clear that the proposed licence holder must be “fit and proper”, and the most appropriate person to hold the licence.

The licence holder does not have to be the owner and could be another person however the person should be “the most appropriate” person. This means the person who has control of the property. This is usually the person who receives the rent. They will be bound by the licence conditions and should be competent.

A relative of an owner can hold the licence – providing they are in control of the property.

A licence can be issued to a registered company rather than an individual – a registered company is a “person” in law. In this case, the council has to be satisfied that the directors of the company are fit and proper persons.

If the landlord lives abroad, the licence needs to be held by someone in the UK – normally an appointed managing agent.

What is a fit and proper person?

The licence holder must be “fit and proper”. The Housing Act 2004 looks at:

  • Unspent convictions for fraud, dishonesty, violence, drugs, sexual offences act 2003 or
  • Findings by a court or tribunal where the person has been involved with any unlawful discrimination on grounds of Sex; Colour; Race; Disability; Ethnic or National Origins
  • Judgements made by a court or tribunal relating to Housing, Public Health, Environmental Health or Landlord and Tenant Law
  • Where a property has been subject to an interim or final management order
  • Banning Orders
  • Previous refusals to licence or failing to comply with licence conditions