Salford Landlord Licensing Penalties: Fines, Rent Repayment Orders, and Section 21

Letting a property without the required licence in Salford is a criminal offence under the Housing Act 2004, and the penalties have grown sharply since the Renters' Rights Act raised the financial ceiling. The council doesn't need to take you to court to impose them.

Civil Penalties

Salford City Council can impose civil penalties of up to £40,000 per offence for operating without a licence. This maximum was raised from £30,000 under the Renters' Rights Act. The council can impose a civil penalty without a criminal prosecution, but it must follow the statutory notice process and the landlord may appeal to the First-tier Tribunal.

The amount depends on the severity, the landlord's compliance history, and whether the council considers the breach deliberate. A first-time accidental omission on one property will attract a lower penalty than a portfolio landlord who knowingly ignored licensing requirements across several addresses. But even a "lower" penalty is typically thousands of pounds.

Civil penalties are an alternative to criminal prosecution, not an addition. The council chooses one route or the other for each offence.

Rent Repayment Orders

This is where the financial exposure becomes serious. Under Sections 40–52 of the Housing and Planning Act 2016, tenants (or the council itself) can apply to the First-tier Tribunal for a rent repayment order if the property was let without a required licence.

For licensing offences committed on or after 1 May 2026, the tribunal can order the landlord to repay up to two years' rent paid during the unlicensed period. The previous maximum for offences committed before that date is one year's rent; an ongoing offence that crosses 1 May is treated under the former rules for the earlier period and the new rules from that date onward. For a post-1 May 2026 breach covering a full 24 months, rent of £700 a month gives a maximum possible calculation of £16,800.

Rent repayment orders can run alongside civil penalties. A landlord caught operating without a licence could face a civil penalty from the council and a separate rent repayment order application from the tenant.

Section 21 and Unlicensed Properties

Before 1 May 2026, a landlord generally could not use Section 21 if a required licence had neither been granted nor applied for. Private landlords can no longer serve new Section 21 notices from 1 May 2026. A valid notice served before then could be used to start court proceedings only by 31 July 2026; proceedings started by that date may continue.

How the Council Finds Unlicensed Properties

Salford's enforcement team uses council tax records and street-level inspections to identify unlicensed properties. The national PRS Database is scheduled to open for voluntary registration on 15 December 2026; registration in the North West is scheduled to start on 15 May 2027. Tenant complaints are another common trigger — particularly when a tenant discovers the property should be licensed and realises they may be entitled to a rent repayment order.

Applying retrospectively — submitting a licence application after being caught — doesn't cure the period of unlicensed operation. The council can still penalise the breach for the entire unlicensed period, and tenants can still apply for rent repayment orders covering months before the application was submitted.

The Cost of Getting It Right vs Getting It Wrong

A selective licence in Salford costs £609. A civil penalty for not having one can reach £40,000 per offence, plus a rent repayment order of up to two years' rent for an offence committed on or after 1 May 2026. The arithmetic is straightforward.

The Salford Landlord Licensing Guide covers which licence your property needs, the application process, and the compliance conditions that prevent enforcement action after the licence is granted.

See more England guides →