Nottingham Selective Licensing Exemptions and Temporary Exemption Notices

Which Properties Are Exempt from Selective Licensing?

Not every rented property in a designated Selective Licensing ward needs a licence. The Selective Licensing of Houses (Specified Exemptions) (England) Order 2006 sets out categories that are excluded by statute:

• Public sector tenancies — properties let by local authorities, housing associations, or registered social landlords
• Business tenancies — properties let for business purposes rather than residential occupation
• Regulated tenancies — tenancies under the Rent Act 1977 (rare but still in existence)
• Specific family arrangements — certain arrangements where close family members occupy the property
• Holiday accommodation — genuine short-term holiday lets where occupation is purely for leisure

Additionally, resident landlords — owner-occupiers who live in the property as their main residence alongside no more than two lodgers — are exempt from HMO licensing.

Properties that qualify as HMOs (three or more occupants from two or more households sharing amenities) don't need a selective licence either — they need an HMO licence instead. Part 2 HMO licensing takes statutory priority over Part 3 selective licensing, and a property can't hold both.

Temporary Exemption Notices (TENs)

A Temporary Exemption Notice is a formal reprieve for landlords who are actively taking steps to make their property non-licensable. It's not a general-purpose delay mechanism — it applies in specific circumstances.

Under Sections 62 and 86 of the Housing Act 2004, you can apply for a TEN when:

• You're taking active steps to secure vacant possession — for example, winding down a letting because you plan to sell or move back in
• You're converting the property back to single-family use (removing the HMO configuration)
• You're otherwise making the property no longer licensable

A TEN exempts the property from licensing for an initial period of three months. In exceptional circumstances, the council may grant a single three-month extension upon written application — giving a maximum of six months total.

What a TEN Doesn't Cover

A TEN is not a substitute for licensing while you get your paperwork together. You can't use it to buy time while you wait for a Gas Safety certificate or gather documents for your application. The council expects the TEN period to be used for making the property non-licensable — not for completing a licence application.

If the property remains in licensable occupation when the TEN expires, you must submit a full licence application immediately. Operating without a licence after a TEN expiry carries the same penalties as any other unlicensed operation — civil penalties up to £40,000 and potential rent repayment orders.

How to Apply for a TEN

TEN applications go to Nottingham City Council's Housing Licensing team. You'll need to demonstrate the specific steps you're taking to render the property non-licensable and provide a realistic timeline. The council isn't obligated to grant a TEN — they assess whether the stated plan is genuine and achievable within the three-month window.

If the council refuses the TEN application, you need to apply for a full licence immediately.

The Practical Calculation

For most landlords who intend to keep renting the property, a TEN isn't relevant. If you're going to need a licence eventually, applying sooner is better than later — every day without a duly made application is a day of penalty exposure.

TENs make sense in narrow situations: you've decided to sell the property vacant, you're moving back in, or you're restructuring the occupancy to remove the licensing trigger. If you're doing any of those within three months, a TEN bridges the gap.

For the full licensing process including exemption categories and application requirements, see our Nottingham landlord licensing guide.

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