HMO licensing explained: do you need a licence?
HMO licensing rules decide whether a landlord must apply to the council before letting a shared property. The rules depend on the number of occupants, the property and the local area, so this guide explains the main categories and how to check your own position.
Mandatory licensing
In England and Wales, a large HMO normally needs a mandatory licence when it is occupied by five or more people forming more than one household and sharing facilities such as a kitchen or bathroom. This applies regardless of the number of storeys the property has.
Mandatory licensing is set nationally, so it applies in every council area once a property meets the threshold. It does not depend on a local scheme being in place.
Additional and selective licensing
Many councils also run additional licensing schemes covering smaller HMOs that fall below the mandatory threshold, and some run selective licensing schemes covering most private rented properties in a defined area, HMO or not. These schemes are set locally and vary significantly between councils and even between streets in the same town.
This means two similar properties in different council areas — or even different parts of the same city — can face different licensing requirements. Always check with the specific local authority rather than assuming a national rule applies.
How to check whether your property needs a licence
- Search the council's website for "HMO licensing" or "private rented licensing"
- Look for a public register of licensed HMOs in the area
- Contact the council's private housing or environmental health team directly
- Ask whether an additional or selective licensing scheme currently covers the property's street or ward
- Re-check after any change in occupancy, since crossing the five-person threshold can trigger mandatory licensing
What a licence covers
A licence is normally granted to a specific person for a specific property and sets conditions on matters such as room sizes, fire safety, gas and electrical safety, waste disposal and management standards. Licences are usually time-limited and need renewing.
Meeting licensing conditions does not remove other landlord obligations, such as gas safety checks, electrical safety checks, deposit protection and general repairing obligations, which apply whether or not a property needs a licence.
What happens if a licensable property isn't licensed
Operating an HMO that should be licensed without a valid licence is a legal offence and councils can take enforcement action, including financial penalties. It can also affect a landlord's ability to serve certain eviction notices. If you are unsure whether your property needs a licence, it is worth resolving that with the council before advertising or letting rooms, rather than after.
Frequently asked questions
Does a five-bedroom house always need an HMO licence?
Not necessarily. It depends on how many people actually live there and whether they form more than one household, not simply the number of bedrooms. A five-bedroom house let to a single family would not need an HMO licence.
Do the rules differ in Scotland and Northern Ireland?
Yes. Scotland and Northern Ireland run their own HMO licensing systems, separate from the England and Wales mandatory licensing threshold described here. Check the relevant national guidance for the property's location.
Can RoomsNow tell me if my property needs a licence?
No. RoomsNow does not assess licensing status. Providers are responsible for confirming their own licensing position with the local council before advertising a property.
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