Birmingham Temporary Exemption Notice for Selective Licensing

A temporary exemption notice (TEN) lets a landlord in Birmingham operate a licensable property for a short period without holding a full licence — but only if concrete steps are already underway to remove the property from the licensing requirement entirely. It is not a grace period for slow applications, and the council will refuse one if the plan is simply to keep letting while the licence paperwork catches up.

When a TEN Applies

Under Section 62 (for HMOs) and Section 86 (for selective licensing) of the Housing Act 2004, you can apply for a TEN if you can demonstrate that the property will cease to require a licence within a short timeframe.

The valid grounds are narrow. Birmingham City Council will typically grant a TEN where:

• Tenancies are ending. You have served lawful notices to end the tenancies, and the tenants have agreed in writing to vacate within three months, returning the property to single-family owner-occupation or a non-licensable use.
• The property is being sold. You have entered into a binding contract for sale to an owner-occupier, with completion scheduled within the exemption period.
• Building works are converting the property. Alterations are actively underway to convert an HMO back into a single C3 dwelling — for example, reinstating a kitchen to eliminate shared facilities.

The common thread is that the property is transitioning out of licensable occupation. If you plan to continue renting it in a way that requires a licence, a TEN is not the right route — you need a full licence application.

The Time Limit

A TEN lasts for a strict maximum of three months from the date the council grants it. In exceptional circumstances, the council can grant a single three-month extension, bringing the total to six months. Under Sections 62(8) and 86(8) of the Housing Act 2004, no further extensions are permitted beyond six months — the statute is absolute on this point.

If the property remains in licensable occupation when the TEN expires, the landlord must immediately submit a full licence application or face enforcement action for operating without a licence.

How to Apply

You apply directly to Birmingham City Council's Private Rented Sector Licensing team. The application should explain:

1. Which licensing scheme the property currently falls under (selective, additional HMO or mandatory HMO)
2. What steps are being taken to remove the property from that scheme
3. The expected timeline for completion

There is no standard form on the council portal for a TEN — contact the licensing team at [email protected] or 0121 303 5070 to start the process.

What a TEN Does Not Do

A TEN provides a legal defence against prosecution for operating without a licence during the exemption period. It does not:

• Exempt the property from meeting housing standards or safety requirements
• Allow the landlord to take on new tenants in a licensable configuration
• Pause any existing enforcement action already in progress
• Serve as a renewable rolling exemption

Landlords sometimes ask about a TEN as an alternative to paying licence fees for a property they intend to sell soon. That can work if there is a signed sale contract with a completion date within three months. It does not work as a speculative measure while the property is merely listed for sale with no binding commitment.

The Practical Alternative

For most landlords in Birmingham, the more practical route is simply submitting a full licence application. Under Sections 72(4) and 95(3) of the Housing Act 2004, a "duly made" application — one that is complete with all required documents and the Stage 1 fee — gives the landlord an immediate statutory defence against prosecution while the council processes the file. That defence lasts for the entire processing period, which in Birmingham can take several months.

Our Birmingham Landlord Licensing Guide covers both routes — the full licence application process and the circumstances where a temporary exemption notice is appropriate — so you can choose the right path for your situation.

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