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Durham selective licensing: what landlords must know

What is Durham selective licensing?

Durham selective licensing is a property licensing scheme implemented by Durham County Council to regulate privately rented homes in specific designated areas. Under this scheme, landlords are required to apply for and hold a valid licence to legally rent out their properties where the scheme applies. The goal is to make sure that rental properties meet certain standards and are managed responsibly.

Who must have a licence?

Any landlord renting out property within a designated selective licensing area in County Durham is typically required to hold a valid licence — regardless of the type of property or the number of tenants. Exemptions may apply in certain cases, but these are limited and clearly defined.

The scheme applies to a substantial portion of the county’s private rented sector and operates under the powers granted by the Housing Act 2004, aiming to address specific local housing challenges.

Why the scheme exists

Selective licensing is designed to:

  • Raise the quality of management in the private rented sector
  • Improve living conditions for tenants by enforcing safety and property standards
  • Reduce anti-social behaviour linked to poor property management
  • Enable proactive enforcement by allowing the council to more effectively monitor and regulate properties in the area

Local authorities, such as Durham County Council, put these schemes in place where evidence shows issues such as crime, low housing demand, or substandard rental properties.

How to check if your property needs a licence

Durham County Council provides clear tools and resources for landlords to check if their property falls within a selective licensing area. These include:

  • Access to the licence application system
  • Options to apply for renewals or exemptions
  • A public register of licensed properties
  • Information on Temporary Exemption Notices (TENs) for short-term exemptions

To check your property’s status or start an application, you can visit the council’s official licensing portal:
Durham property licensing portal.

Additionally, landlords can review the public register of licensed properties to confirm compliance or learn more about properties already part of the scheme.

Licence requirements and conditions

Applying for a selective licence in Durham requires landlords to meet specific conditions, ensuring their properties meet safety and management standards:

  • Valid safety certificates (e.g., gas safety and electrical safety)
  • An Energy Performance Certificate (EPC), which must be in place before renting begins
  • Smoke and carbon monoxide alarms installed as per legal requirements
  • Evidence of proper property management arrangements

These conditions are outlined in Durham County Council’s detailed Selective Licensing Conditions, which landlords should carefully review before applying.

Fees for selective licensing

Durham County Council sets its licensing fees, typically broken into two parts: an initial administrative fee at application and a second instalment upon granting the licence. These fees are clearly outlined on the council portal.

Across the North East, selective licensing fees often range between £500 and £600 per property, making it essential for landlords to budget accordingly. Failure to pay may delay or invalidate licence applications.

Enforcement and penalties

Failing to comply with selective licensing requirements can lead to serious consequences for landlords, including:

  • Civil penalties of up to £30,000 for operating without a licence
  • Criminal prosecution in more severe cases
  • Rent repayment orders, requiring landlords to return rent paid by tenants
  • Potential impacts on insurance coverage for unlicensed properties

In Durham, enforcement has been active, with landlords facing hefty fines for non-compliance. For example, one landlord was recently ordered to pay over £15,000 in fines and costs for failing to meet licensing requirements.

Practical steps for landlords

Here’s what you can do to guarantee compliance:

  1. Check if your property falls within a selective licensing area using Durham’s online property licensing portal.
  2. Apply for a licence before renting out any property in a designated area.
  3. Gather and submit all necessary documents, such as safety certificates and EPC evidence.
  4. Confirm your compliance with licensing conditions as outlined by the council.
  5. Monitor your licence expiry and renew it in advance to avoid penalties.

FAQs

Do I need a selective licence for every rental property in Durham?

You only need a licence if your property is located in a designated selective licensing area. Properties outside these zones are typically exempt from this specific requirement, but landlords should check for any other licensing obligations.

What happens if I rent out a property without a licence?

Letting a property without the required licence can result in penalties of up to £30,000, prosecution, or rent repayment orders. Durham County Council actively enforces its scheme, so non-compliance carries significant risks.

How long does a Durham selective licence last?

Selective licences typically last for a fixed period of five years, provided landlords continue to meet licensing terms and conditions.

Can a selective licence be transferred to another landlord?

No, selective licences are non-transferable, meaning if a property is sold or transferred, the new landlord must apply for a new licence if the property is rented and still within a designated area.

What documents do I need to apply?

Landlords will need safety certificates (e.g., gas and electrical), a current EPC, tenancy agreements, and evidence of compliance with property management standards. Full details are on the licensing portal.

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