Middlesbrough Section 21 and Selective Licensing — Can You Serve Notice Without a Licence?

One of the most serious consequences of operating without a licence in Middlesbrough is that it strips away your ability to recover possession of your property through the courts. If you are wondering whether you can serve a Section 21 or Section 8 notice on a tenant while unlicensed, the short answer is no — and the Renters' Rights Act 2025 has made the situation even more restrictive.

Section 21 Is Abolished

First, the headline change: the Renters' Rights Act 2025, which came into full statutory force on 1 May 2026, abolished Section 21 "no-fault" evictions entirely. All assured shorthold tenancies in England have been converted to open-ended periodic assured tenancies. There is no longer any Section 21 notice to serve, in Middlesbrough or anywhere else.

If you are searching for information about Section 21 in the context of selective licensing, the question itself has become historic. The mechanism no longer exists.

Section 8 and the Licence Requirement

What remains is Section 8, which allows landlords to seek possession on specific statutory grounds (rent arrears, anti-social behaviour, the landlord wanting to sell or move in, and others). But here is where licensing matters directly.

Under the Housing Act 2004, a landlord cannot serve a valid Section 8 possession notice if the property is required to be licensed under Part 2 (HMO licensing) or Part 3 (selective licensing) but is not licensed, unless a valid licence application or Temporary Exemption Notice has been submitted and remains pending.

In Middlesbrough, this means:

• If your property is in the Newport 1 (Phase 2) or Newport 2 selective licensing area and you have not applied for a licence, any possession claim will be dismissed by the County Court
• If your property is a mandatory HMO (five or more occupants from two or more households) anywhere in the borough and you lack a licence, the same applies

A County Court judge will check the licensing status of the property as a threshold question. No licence (and no pending application) means no possession order — regardless of how strong your grounds might be.

The Duly-Made Application Protection

There is one important safeguard. If you have submitted a complete ("duly made") licence application — meaning all forms are filled in, all supporting documents uploaded, and the Part 1 fee paid — you are protected from prosecution for operating unlicensed while the application is being processed. Critically, this also preserves your ability to serve possession notices during the processing period.

An application that is incomplete, missing documents, or unpaid does not count as duly made and offers no protection.

The Financial Penalty Layer

Beyond losing possession rights, operating unlicensed in Middlesbrough carries civil penalties of up to £40,000 per property and rent repayment order liability of up to 24 months' gross rent. A tenant who discovers their landlord was unlicensed can apply to the First-tier Tribunal for a rent repayment order independently of any other proceedings.

The practical effect is that an unlicensed landlord cannot remove a tenant and may have to repay up to two years of rent. That combination makes licensing compliance a financial necessity, not an optional administrative step.

Our Middlesbrough Landlord Licensing guide covers the complete application process, including how to ensure your application is classified as duly made from day one, so your possession rights are never at risk.

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