London has the most fragmented HMO licensing landscape in England. Mandatory HMO licensing applies across all 32 boroughs, but every borough also operates its own additional licensing rules, and many have Article 4 directions requiring planning permission for conversions. This guide explains the layered system, what it costs, and how to navigate it as a London landlord.
32
Boroughs with own HMO rules
~£1,500
Typical mandatory licence fee
£30,000
Max civil penalty per offence
12 months
Rent repayment exposure
HMO licensing in London operates at three layers:
A single property can sit under all three regimes if the borough has stacked schemes. You will always need at least the mandatory HMO licence; whether you also need additional or selective licences depends on the borough.
The following boroughs have run borough-wide or near-borough-wide additional HMO licensing in recent years:
Other boroughs have more targeted schemes or none at all. Always check the specific borough on its own website; designations expire and are re-declared on different timetables. PropReady maintains a current map of London additional and selective licensing areas.
Many London boroughs have used Article 4 Directions to remove permitted development rights for converting C3 (dwelling house) to C4 (small HMO). Where an Article 4 Direction applies, you need planning permission to convert a house to a small HMO, in addition to the HMO licence.
Boroughs with significant Article 4 coverage include Newham, Croydon, Barking and Dagenham, Redbridge, Waltham Forest, Tower Hamlets, and Haringey. Some directions cover the whole borough; others cover specific wards.
Application fees for change-of-use planning permission run from around £600 to £1,500 depending on borough. Decisions take eight to thirteen weeks. Refusal is common in areas judged to already have a high concentration of HMOs.
London HMO licence fees are higher than the national average, reflecting higher property values and council costs. Typical ranges:
The application process is similar across boroughs: submit details of the property, current safety certificates, and ownership evidence; pay the fee; the council may inspect; licence granted if standards met.
London licence conditions tend to be tighter than the national average, reflecting urban density and high-rise risks. Common London-specific conditions:
Breach of any condition can trigger civil penalties even where the licence is still in force.
From 1 May 2026:
Each London borough runs its own HMO licensing scheme. Start at the relevant borough's "private rented housing" or "HMO licensing" page. PropReady flags borough-specific schemes by postcode.
Yes. Each borough issues its own licences and runs its own scheme. A licence in Camden does not cover a property in Lambeth.
Newham is often cited as the most extensive scheme, with borough-wide selective and additional licensing, frequent inspections, and one of the largest enforcement teams. Croydon, Waltham Forest, and Brent are also notably active.
In many boroughs, yes, because of Article 4 Directions removing permitted development rights for C3 to C4 conversions. Always check the specific borough's Article 4 status before purchase or conversion.
Mandatory licences typically £1,200 to £2,500 for five years; additional licences typically £800 to £1,800. The exact figure depends on the borough and the size of the HMO.
Yes. The London Landlord Accreditation Scheme (LLAS) is widely recognised across London boroughs and usually gives a 10 to 25 percent discount on licence fees. Some boroughs accept other accreditation schemes such as NRLA accreditation.
Properties managed by educational establishments under specific arrangements may be exempt. Privately let student houses are not exempt and need the same licence as any other HMO.
A free checklist of everything you must do before and after 1 May 2026. Sent instantly to your inbox.
PropReady scans every property you hold, flags the London-specific obligations, and generates the documents you need.
Start free trialNo card required