Do I need an HMO licence?

In England you need a mandatory HMO licence if 5 or more people, forming 2 or more households, live there and share facilities, under rules in force since 1 October 2018. Councils can also license smaller lets.

A house in multiple occupation (HMO) is often called a house share. Whether you need a licence depends on how many people live there, how many households they form, and where the property is. This page uses GOV.UK and legislation.gov.uk, checked on 16 October 2026.

Is your property an HMO?

GOV.UK says a property is an HMO if both of these apply:

• at least 3 tenants live there, forming more than one household
• they share toilet, bathroom or kitchen facilities

A household is either one person or members of the same family who live together, including couples. So a couple and their child are one household; three friends are three.

The three kinds of licence

For mandatory licensing, the 2018 Order also covers some flats, but not a purpose-built flat in a block of 3 or more self-contained flats.

A council can bring in additional licensing where it thinks a significant proportion of HMOs in an area are badly managed. It can bring in selective licensing where an area has low housing demand or a significant and persistent problem with antisocial behaviour, among other conditions. Both mean that even a 3 or 4 person house share, or an ordinary single let, may need a licence depending on the street it is in. GOV.UK's licence page has a postcode search that takes you to your council.

What a licence involves

• A licence lasts a maximum of 5 years, and you need a separate one for each HMO.
• The council sets the fee.
• The house must be suitable for the number of occupants, and the manager, you or an agent, must be fit and proper.
• You must send the council an updated gas safety certificate every year, install and maintain smoke alarms, and provide safety certificates for electrical appliances when asked.
• The council can add its own conditions, and you can appeal them to the First-tier Tribunal.
• The council must carry out a Housing Health and Safety Rating System (HHSRS) risk assessment within 5 years of receiving your application.
• You must tell the council about changes, such as building work or a tenant's circumstances changing.

Fines and other consequences

The £40,000 civil penalty limit and the 2-year rent repayment period both took effect on 1 May 2026. They apply to offences from that date: for conduct before 1 May 2026 the old limits of £30,000 and 12 months' rent still apply. It is a defence to the offence if, at the time, you had already applied for a licence and that application was still effective.

What this means for you

Say you let a 5-bedroom house to 4 unrelated sharers. That is an HMO but below the mandatory 5-person line, so whether you need a licence depends on your council's additional licensing scheme. If a fifth sharer moves in, the house needs a mandatory licence. Apply before the fifth person arrives, because a duly made application is a defence while it is still effective.

A couple renting one room counts as 2 people but 1 household, so they add to the head count without adding a household.

Steps to check if you need a licence

1. Count the people living in the property and the households they form.
2. Check whether they share a toilet, bathroom or kitchen.
3. If there are 5 or more people in 2 or more households, apply for a mandatory licence from your council.
4. If there are fewer, use the GOV.UK postcode search to reach your council and check for additional or selective licensing.
5. Apply before the let starts or before the household change, and pay the council's fee.
6. Diary the renewal date, the yearly gas certificate for the council, and any conditions the council adds.

The landlord compliance checklist shows how licensing fits with your other duties, including deposit protection. Run the free MTD check to see whether Making Tax Digital applies to you, and see the landlord section for more guides.