Landlords win as selective licensing rules are amended

In a victory for landlords, a letting agent has successfully overturned unreasonable selective licensing conditions imposed by Charnwood borough council.

AST Lettings Ltd brought a First-tier Tribunal case against the council, challenging burdensome selective licensing conditions on behalf of two of their landlords in the area.

Following the ruling, the council has agreed to amend a number of the conditions and will now reissue revised licences to more than 1,000 landlords affected by the decision.

Beyond statutory powers

The council claimed the selective licensing scheme was introduced to “improve housing standards”.

However, AST Lettings raised concerns that certain requirements, such as fire safety and waste disposal, went beyond statutory powers and placed unreasonable burdens on responsible landlords.

The original scheme required every single-family home to fully comply with LACORS fire safety guidance and undergo a fire risk assessment.

However, following discussions with the council, the letting agents settled by agreement shortly before the Tribunal hearing in March 2025, with the council agreeing to amend or remove all of the disputed licence conditions.

The letting agent said the outcome effectively removed the challenged requirements while still maintaining high safety standards.

Stephen Nottridge, a director of AST Lettings Ltd, said: “Our goal has always been to ensure a fair and transparent rental market for both tenants and landlords.

“While we fully support the objective of improving housing quality, local authorities must operate within the law. This ruling provides much-needed clarity and ensures that licensing conditions remain proportionate and legally sound.”

Balanced and proportionate outcome

Charnwood borough council has now amended its selective licensing conditions and will reissue licences to more than 1,000 landlords in the area.

A statement on the council’s website says: “Following an agreement reached at First Tier Tribunal in 2025, our Selective Licensing Conditions have been amended. New draft Selective Licences will be sent out to all licence holders including the new conditions.”

Richard Tacagni, managing director of London Property Licensing, who provided professional representation and advice throughout the proceedings, said the decision shows that councils must act proportionately.

He said: “I was pleased to represent AST Lettings Ltd and help secure a balanced and proportionate outcome.

“This case serves as an important reminder that councils must apply licence conditions correctly when implementing selective licensing schemes, particularly as failure to comply with any condition is a criminal offence.”

Pushing up rents

The news comes as another council was branded as “deluded”  over claims that selective licensing will not cause rent rises.

As previously reported by Property118, Great Yarmouth Borough Council introduced its selective licensing scheme this month, covering more than 5,000 properties at a cost of £694.

The council claims research shows “there is little evidence to suggest rents have risen due to licence fees being introduced in other parts of the country with similar schemes”.

However, Paul Cunningham, chairman of the Eastern Landlords Association, told Property118 the scheme has already pushed rents higher.