Licensing of Houses in Multiple Occupation (HMO)

We ensure all Houses in Multiple Occupation (HMOs) are fit and safe to live in with regard to the health, safety and welfare of the tenants. We encourage good practice and ensure the provision of quality, well-managed accommodation. 

All HMOs are assessed using the Housing Health and Safety Rating System (HHSRS) both in response to complaints or referrals received and in areas where deprivation and anti-social behaviour has been identified.

Since April 2006, over 320 properties have been licensed within Lambeth and we are actively looking for properties that are operating without a licence to ensure all houses are suitable and safe for the occupants. This means that they must be in a good state of repair, with appropriate management standards, and adequate fire precautions.

Licensing process

You need to apply for a HMO licence if you own or manage an HMO with:

• three or more storeys
• five or more occupants
• forming two or more households.

In some cases a maisonette in a house or above commercial premises may need a licence if similarly occupied.

If you are unsure whether your HMO needs a licence please contact us. We can advise you, send you an information pack and application form if necessary.

Once we receive a completed HMO licence application and the appropriate fee, we will issue a licence if we are satisfied that the:

• proposed licence holder is a fit and proper person (A fit and proper person is a person who has complied with housing and related legislation, is competent to manage the property and has no convictions.)
• property is reasonably suitable for occupation by the number of households or persons applied for
• arrangements for managing the house are satisfactory.

The licence will be valid for a maximum of five years from the date of issue, although it can be issued for a shorter period, after which time it must be renewed.

See HMO Licensing Flowchart which explains the licensing process.

Licensing conditions

If a licence is issued, it will specify the maximum number of people who may live in the HMO. It will also require the landlord to:

• have a valid current gas safety certificate, which is renewed annually (in accordance with the Gas Safety Regulations 1998)
• ensure that all electrical appliances and furniture are kept in a safe condition
• install and properly maintain a fire detection system, doors and sited alarms throughout the property
• provide each occupant with a written statement about terms and conditions (a tenancy agreement).

We will also impose a range of other conditions, if deemed warranted.

Any breach of licensing conditions can result in prosecution and may result in a £5,000 fine upon summary conviction

What is the cost of HMO licensing?

HMO licence fees have recently been reviewed, and a new structure agreed. The fee for an initial application will be £250 per bedroom or bedsit room with a reduction for accredited landlords and registered charities. The appropriate fee must accompany any application for a licence.

See our HMO fees and charges.

What can happen if an HMO which should be licensed is operating without one?

It is the landlord's responsibility to apply to the Local Authority for an HMO licence. It is an offence to operate a licensable HMO without having obtained a licence. The current fine that can be imposed is £20,000.

In addition, any Housing Benefit paid to the landlord for an unlicensed HMO, can be repayable to the local authority (subject to a Residential Property Tribunal order).

Also, in some circumstances, tenants can apply to the Residential Property Tribunal for a Rent Repayment Order if they have paid rent to a landlord (up to a limit of 12 months) who has failed to obtain an HMO licence.

We will encourage landlords to apply for licensing through advice and persuasion, but where they fail to apply as a result of such informal action we will take legal proceedings with a view to prosecution in the courts. Similarly any breach of conditions will initially be dealt with informally, but if the breach continues legal proceedings will be instigated.

Temporary Exemption Notice (TEN)

A TEN suspends the requirement for a licence because the owner has notified us that she or he is currently taking steps to change the way the HMO is occupied. For example, seeking planning permission to convert the HMO into a single family dwelling or the property has been placed on the market for sale.

Temporary exemption is what it says, temporary. We can serve a temporary exemption notice (TEN) which will exempt the premises from licensing for three months. In certain unusual circumstances it can extend this for a further three months. Thereafter there is no power to exempt the premises and the property must be licensed.

HMO Licensing register

The Housing Act 2004 requires every Local Authority to maintain a public register of all premises licensed as a HMO.

If you have any enquiries about a property which has been licensed or which you feel should be licensed and is not, contact privatesectorhousing@lambeth.gov.uk  .
This register will be updated periodically as we continue to issue HMO licenses.

How can I find out more?

If you require any further information regarding Houses in HMO licensing:

Contact: Private Sector Housing (Environmental Health) team
4th Floor
Hambrook House
London SW2 5RW
Tel: 020 7926 4444 or 020 7926 4247
Email: privatesectorhousing@lambeth.gov.uk