Operating a business two-way radio in the UK without the right licence is illegal. Ofcom, the UK’s communications regulator, manages the radio spectrum and requires most professional radio users to hold a valid licence before they transmit.
Understanding which licence applies to your organisation is the first step to staying compliant and getting the best performance from your radio system.
This guide explains each licence type, who needs it, and how to apply.
Do You Need a Licence at All?
Not every two-way radio requires a licence.
PMR446 radios the compact, consumer-grade handsets sold in high-street retailers are licence-free. They operate on a shared set of frequencies in the 446 MHz band at a maximum power output of 0.5 watts, which gives them a practical range of roughly one to two kilometres in open ground. No application, no fee, and no assigned channel: they work straight from the box.
The trade-off is significant for professional use. PMR446 frequencies are shared with every other PMR446 user in the area, which means interference is common and transmissions are not private. Power output is restricted by law, so range is limited and performance in buildings or across large sites is unreliable. For most commercial operations – construction sites, venues, facilities management, security teams – PMR446 is not adequate, and a licensed radio is the appropriate choice.
Licensed radios typically operate at up to 5 watts for handheld units and up to 25 watts for vehicle or base station units, with dedicated frequencies that significantly reduce interference and improve reliability.
The Main Business Radio Licence Types
Ofcom issues five types of business radio licence. Three are available immediately online; two require a separate application and are processed within 42 days.
Simple UK Light
The Simple UK Light licence authorises the use of handheld and mobile radio equipment anywhere across the United Kingdom.
It covers portable and vehicle-mounted radios but does not permit the use of a base station. Licensees can choose from 19 frequencies spread across four business radio frequency bands. The licence costs £75 for a five-year term and can be issued immediately via Ofcom’s online licensing system.
This licence is well suited to organisations whose teams work across multiple locations: field service engineers, retail chains, schools, healthcare providers, or event staff who may be deployed at different sites. Because channels are drawn from a shared allocation, there is some risk of interference from other licensees on the same frequency though in most practical environments this is rarely a problem.
Simple Site Light
The Simple Site Light licence authorises the use of a radio system operating a base station and associated mobile or handheld units within a defined area, typically one kilometre or less. Like the Simple UK Light licence, it costs £75 for five years and is available immediately through the Ofcom online system.
This licence is appropriate for operations confined to a single site: a warehouse, a factory floor, a campus, or a retail park. The base station extends coverage within the defined area, making it a practical choice where staff work within a fixed perimeter.
Suppliers Light
The Suppliers Light licence is a specialist licence for authorised radio dealers and suppliers, not for end-user organisations.
It permits the holder to service and repair business radio and marine equipment, hire out radio equipment to customers for up to one year, demonstrate equipment to prospective customers for up to eight days, and allocate radios to customers who are waiting for their own licence for up to three months – a process known as “parking”. The fee is £75 for five years.
If you are purchasing or hiring radios from a dealer, this is the licence your supplier holds. It does not confer any rights on you as the end user: once your equipment is in operation, you need your own licence.
Technically Assigned
A Technically Assigned licence is a flexible, individually specified licence suited to organisations with more demanding communication requirements.
Rather than choosing from a shared pool of frequencies, the licensee is assigned specific frequencies engineered to their site and coverage needs. The licence can cover anything from a single building to a county, and the frequency range is drawn from across all business radio bands.
Because frequencies are assigned rather than shared, the Technically Assigned licence is more reliable in environments where interference would be costly – construction projects, large outdoor events, healthcare facilities, or security operations where communication must be consistent. Licence fees range from £75 to £1,480 for a single channel assignment, depending on the coverage area and the frequency band. Applications are submitted via an online form and are processed within 42 days of a completed application being received.
Area Defined
The Area Defined licence gives the holder exclusive use of a frequency across a defined geographic area: a 50km² grid square, a country (England, Scotland, Wales, or Northern Ireland), or the whole of the United Kingdom.
This is the highest-tier licence and is designed for organisations requiring guaranteed, interference-free coverage at scale.
Fees are calculated using a combination of frequency width, frequency range, and the region covered. As a guide, a duplex 12.5 kHz frequency between 450 and 470 MHz used across the whole UK would cost £9,900; the same specification in a lower frequency band (68 to 80 MHz) would cost £3,300. Spectrum availability for UK-wide Area Defined licences is limited above 165 MHz, so availability should be confirmed with Ofcom before applying.
Which Licence Is Right for Your Organisation?
The right licence depends on three factors: where your teams operate, whether you need a base station, and how critical reliable communications are to your operation.
For most small to medium-sized organisations working across multiple sites without a base station, the Simple UK Light licence is the most practical and cost-effective starting point. For a single fixed site, the Simple Site Light licence is the natural choice. Organisations running larger or more complex radio systems, particularly where interference would be operationally significant, should consider a Technically Assigned licence, as the individually allocated frequency delivers a notably more reliable and secure channel.
Area Defined licences are appropriate for national or regional operations where coverage continuity across a wide area is essential, or where exclusive frequency use is required to protect against interference at scale.
How to Apply
Simple UK Light, Simple Site Light, and Suppliers Light licences can all be applied for, paid for, and issued immediately through the Ofcom Online Licensing System. No waiting period applies once payment is confirmed.
Technically Assigned and Area Defined licences require submission via the Ofcom online application form. Ofcom processes completed applications within 42 days. During the waiting period, an authorised radio supplier holding a Suppliers Light licence can allocate radios to your organisation for up to three months under the parking provision.
All Business Radio Light licences are renewed every five years. Ofcom issues renewal notices approximately one month before the renewal date, with payment due by the end of that month.
What Happens if You Operate Without a Licence?
Using a licensed radio frequency without the correct Ofcom licence is a criminal offence under the Wireless Telegraphy Act 2006.
Penalties can include unlimited fines and, in serious cases, prosecution. Ofcom has the power to require equipment to be surrendered and can take action against organisations found to be causing interference on licensed spectrum. Beyond the legal risk, unlicensed operation on shared or licensed frequencies can cause interference to other users including emergency services.
Frequently Asked Questions
Do I need a licence to use two-way radios at an event?
It depends on the type of radio. PMR446 radios require no licence, but their limited range and shared frequencies make them unsuitable for most professional events. If your team is using licensed business radios the equipment must be covered by a valid Ofcom licence. Hired radios are typically covered under the supplier’s Suppliers Light licence during the hire period, but you should confirm this with your supplier before the event.
How much does an Ofcom business radio licence cost?
Simple UK Light, Simple Site Light, and Suppliers Light licences each cost £75 for a five-year term. Technically Assigned licences range from £75 to £1,480 per channel assignment, depending on coverage area and frequency band. Area Defined licence fees are calculated individually and can be substantially higher for national coverage.
How long does it take to get a radio licence?
Simple licences (Simple UK Light, Simple Site Light, Suppliers Light) are issued immediately through Ofcom’s Online Licensing System. Technically Assigned and Area Defined licences are processed within 42 days of a completed application being received.
Can I use my radios while waiting for the licence to be approved?
Yes, in most cases. An authorised radio supplier holding a Suppliers Light licence can allocate radios to your organisation for up to three months while your application is being processed – a process known as “parking”. Confirm with your supplier that this arrangement is in place before deploying the radios.
What is the difference between Simple UK and Simple Site?
Simple UK Light authorises mobile and handheld radios for use anywhere across the UK, but does not permit a base station. Simple Site Light authorises a base station and associated radios within a defined area of approximately one kilometre. Both cost £75 for five years.
Can the same licence cover radios at multiple sites?
Simple UK Light covers mobile and handheld radio use across the whole of the UK, so it can be used by teams operating at different locations. Simple Site licences, however, are issued per site so a separate licence is required for each location where a base station is used.
What is a Technically Assigned licence and when do I need one?
A Technically Assigned licence gives you individually allocated frequencies engineered to your specific site and coverage requirements. It is appropriate when interference would cause operational problems, such as on large construction projects, healthcare sites, or at major events where reliable channel performance is business-critical.
What is “parking” in radio licensing terms?
Parking refers to the provision that allows an authorised supplier holding a Suppliers Light licence to allocate radios to a customer for up to three months while that customer’s own licence application is being processed. It is a temporary arrangement only and does not replace the need for the customer to obtain their own licence.
Does an Ofcom radio licence cover hired radios?
If you are hiring radios, the supplier’s Suppliers Light licence covers the hire for up to one year. For longer-term deployments, or if you are using owned radios that require a specific assigned frequency, you will need your own business radio licence. Confirm the arrangement with your supplier when hiring.
What happens if my licence expires?
Operating after a licence has expired is unlawful. Ofcom issues renewal notices approximately one month before the renewal date, with payment due by the end of that month. If payment is not received by the renewal date, the licence is at risk of revocation. Setting up an annual or five-year renewal reminder — or delegating licence management to an authorised third party — helps ensure continuity.
Need Help Managing Your Radio Licence?
2CL Communications can apply for your Ofcom business radio licence on your behalf, manage renewals, and ensure your radio system stays compliant — so you can focus on your operations.