Selective licensing in Lambeth
Yes. Lambeth operates a selective licensing scheme. Letting a covered property without a licence risks a civil penalty of up to £30,000, a rent repayment order of up to twelve months' rent, and the loss of the right to serve a section 21 notice.
What the designation says
London Borough of Lambeth operates a Selective Licensing scheme in TWO PHASES — covering nearly the entire borough except 2 wards. (A) PHASE 1 — came into force on 2 September 2024 and runs for 5 years until 1 September 2029. Covers 4 wards in the south of the borough: KNIGHTS HILL, STREATHAM COMMON & VALE, STREATHAM HILL EAST, STREATHAM ST LEONARDS. Approved without Secretary of State authorization . (B) PHASE 2 — came into force on 1 September 2025 and runs for 5 years. Covers 19 ADDITIONAL wards: BRIXTON ACRE LANE, BRIXTON NORTH, BRIXTON RUSH COMMON, BRIXTON WINDRUSH, CLAPHAM COMMON & ABBEVILLE, CLAPHAM EAST, CLAPHAM PARK, CLAPHAM TOWN, GIPSY HILL, HERNE HILL & LOUGHBOROUGH JUNCTION, KENNINGTON, MYATT'S FIELD, OVAL, ST MARTIN'S, STOCKWELL EAST, STOCKWELL WEST & LARKHALL, STREATHAM HILL WEST & THORNTON, STREATHAM WELLS, WEST DULWICH. Decision made by Cabinet Member for Safer Communities on 15 May 2025. Phase 2 was initially delayed pending government approval — the rules then changed (General Approval December 2024) so external approval was no longer required. Early applications opened 1 August 2025; scheme came into force 1 September 2025. Only 2 wards in Lambeth are NOT subject to selective licensing — VAUXHALL and WATERLOO & SOUTH BANK. Every other ward in Lambeth is now in scope. All privately rented properties within the designated wards occupied by a single household or 2 unrelated sharers. Lambeth estimates over 48,000 private rented homes in the borough — the scheme will apply to tens of thousands of properties. HMOs are licensed under the Mandatory or Additional schemes instead. £923 per property — the highest selective licensing fee in London. Two-part structure (Part A on application, Part B automatically debited once draft licence is issued). Discounts: £50 off Part B for EPC rating C or better; £75 off Part B for accredited landlords (LLAS, NRLA); £100 off Part A for subsequent flats in the same block (after the first flat) where multiple properties are licensed together — applicants can submit and pay for up to 8 applications at once via the portal. Land Registry title (freehold and leasehold where applicable, dated within 28 days of application); Gas Safety Certificate; Electrical Installation Condition Report (EICR) plus EICR certificate evidencing remediation of any C1/C2 deficiencies; EPC if claiming the discount; current tenancy/management agreements; accreditation evidence if claiming the accreditation discount. Health and safety, fire precautions, gas/electrical safety certificates, structural condition, anti-social behaviour management, written tenancy agreements, fit and proper person test for licence holder. Operating an unlicensed property in a designated area is a criminal offence. Civil financial penalty up to £30,000 per offence. Unlimited fine on conviction. RROs up to 12 months (24 months under Renters' Rights Act 2025). Section 21 invalid where unlicensed. lambeth.gov.uk/housing/landlords-licensing/selective-licensing-scheme online application portal.
What this means for a landlord
A licence must be in place before the property is let, not applied for afterwards. Operating unlicensed in a designated area is a criminal offence: a civil penalty of up to £30,000 per offence, a rent repayment order of up to twelve months' rent, and a section 21 notice that cannot be served while the property is unlicensed. Mandatory HMO licensing applies separately and everywhere, wherever a property is let to five or more people forming two or more households.
Information tool, not legal advice. Confirm the position with Lambeth before letting.