Oxford City Council may well have to face legal action against its landlord licensing scheme.

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Any landlords who let out HMOs in the city's districts must acquire a licence, however only accredited landlords have the opportunity to purchase a discounted five year licence.

It is also mandatory for all licensed landlords who wish to become accredited that they must attend training sessions to be able to do so.

A trade association has written to the council stating that it is unfair to limit the five year 'discounted' rate only to accredited landlords. It says the option should also be open to landlords who can prove that they have expertise in good practise and treatment of their tenants, to take advantage of the more favourable five year licence rate.

It also says by making it mandatory for accreditation that landlords must attend training sessions. 'discriminates' against those who let out 'homes' in Oxford but do not live there.

The association cites the EU Service Directive when saying that the council's condition breaches legislation in its accreditation and licensing condition, as it “cannot be provided in a way which discriminates based on country of establishment”.

The association has threatened to launch a judicial review if the council does not respond accordingly.

A spokesperson for the trade association, said: “It is very concerning that there are so many apparent illegalities in Oxford City Council’s accreditation scheme.

“The association strongly urges the local authority to review the scheme and would welcome the chance to meet with council representatives to discuss our concerns further.”

Ian Wright, head of regulatory services and community safety at Oxford City Council, said: “We received a letter from the association and responded on April 23 offering a meeting to discuss the matters raised.

“It is disappointing that they have chosen to issue a press release before meeting with us, but we are obviously still happy to meet with them.

“Our HMO licensing scheme aims to protect tenants and ensure their homes are in good repair and meet fire, gas and electrical safety standards.

“We developed the system following lengthy consultation with local landlords, who requested that we reward landlords who do more to look after their tenants with lower fees and longer licences.