HMO Licence London 2025 — Complete Application Guide for Landlords

What is HMO Licensing?

A House in Multiple Occupation (HMO) is a property let to three or more unrelated people forming more than one household, who share facilities such as a kitchen or bathroom. HMO licensing is the system of regulation that London borough councils use to ensure these properties meet minimum standards of management, safety and habitability.

Mandatory HMO Licensing

Under the Housing Act 2004 (as amended), mandatory HMO licensing applies to properties occupied by five or more people forming two or more households who share one or more basic amenities. This applies regardless of the number of storeys — the previous 3-storey threshold was removed by amendment in 2018.

Operating a licensable HMO without a licence is a criminal offence. Landlords can face:

• An unlimited fine (courts have imposed fines exceeding £100,000 for serious cases)
• A Rent Repayment Order — tenants can claim back up to 12 months of rent paid during an unlicensed period
• Banning orders preventing ownership or management of rental property

Additional and Selective Licensing in London

Many London boroughs have introduced additional or selective licensing schemes extending licensing requirements beyond the mandatory threshold. Examples in 2025:

• Southwark: Additional licensing covers HMOs with 3 or more occupants (below the mandatory threshold)
• Newham: Selective licensing covers virtually all private rented properties in the borough
• Hackney: Additional HMO licensing covers properties with 3+ occupants
• Tower Hamlets: Borough-wide selective licensing requiring all private rented properties to be licensed
• Barking and Dagenham: Selective licensing scheme for most of the borough

Schemes change regularly — always check directly with the relevant borough council before letting a property.

Room Size Requirements

The HMO (Minimum Room Sizes) (England) Regulations 2018 set minimum room sizes that apply to all licensed HMOs:

• Rooms used by one person over 10 years old: minimum 6.51m²
• Rooms used by two people over 10 years old: minimum 10.22m²
• Rooms used only by children under 10: minimum 4.64m²

Rooms below the minimum size cannot be let. Where a room is marginally below minimum size, many councils require physical evidence (photographs and floor plan measurements) and may serve a prohibition notice.

Fire Safety Conditions

HMO licences are issued with conditions relating to fire safety. Typical conditions in London boroughs include:

• Grade A (panel-controlled) fire alarm system to BS 5839-6 Category L2 as a minimum for properties with 3+ storeys or 5+ occupants
• Grade D (battery/interlinked mains) alarms acceptable in smaller HMOs
• 30-minute fire-rated doors (FD30S) to all habitable rooms where the escape route passes through common areas
• Emergency lighting in common areas for larger HMOs
• Fire extinguisher and fire blanket in communal kitchen
• Current fire risk assessment by a competent assessor

HMO Licence Application Fees in London 2025

Licence fees vary by borough. Typical 2025 mandatory licence fees:

• Most Inner London boroughs: £500–1,200 for a 5-year licence
• Some outer London boroughs: £400–900 for a 5-year licence
• Additional licensing (smaller HMOs): £400–800 per property

Fees are typically split into two parts — a non-refundable application fee and a balance payable on issue of the licence. We provide a full HMO compliance audit before application to identify and resolve any issues before the council inspection.