Does my rental property need a landlord licence?

Whether your property needs a licence depends on where it is located and how it is used. All HMOs (Houses in Multiple Occupation) with 5 or more occupants require a mandatory licence. Many councils also operate selective licensing schemes covering all private rented properties in a defined area, and additional licensing schemes for smaller HMOs. Use the Tuxa checker to instantly find out if your property is in a licensing area.

What is selective licensing?

Selective licensing is a scheme introduced under the Housing Act 2004 that allows local councils to require all private landlords in a designated area to obtain a licence, regardless of the property type or number of occupants. Councils use selective licensing to tackle problems such as anti-social behaviour, low housing demand, or poor property conditions. Failure to obtain a licence can result in a fine of up to £30,000 or a rent repayment order.

What is additional licensing?

Additional licensing extends HMO licensing beyond the mandatory national standard. Councils can designate areas where smaller HMOs (typically those with 3 or more occupants forming two or more households) must also be licensed. Additional licensing schemes are common in university cities and areas with high concentrations of shared housing.

What happens if I rent a property without a licence?

Renting a property without the required licence is a criminal offence. Landlords can face an unlimited fine in court, or a civil penalty of up to £30,000 issued by the council. Tenants can also apply for a Rent Repayment Order, which can require the landlord to repay up to 12 months of rent. Unlicensed landlords cannot serve a valid Section 21 notice to regain possession of their property.

How do I find out if my area has a selective licensing scheme?

The quickest way is to use the Tuxa property licence checker. Enter any UK address or postcode and Tuxa will instantly check against all 361 UK councils to show whether the property is in a selective, additional or mandatory HMO licensing area. Results are free to view.

Mandatory HMO Licensing: Who Needs One and What It Costs

What is a Mandatory HMO Licence?

A mandatory HMO licence is a licence required by law for any House in Multiple Occupation (HMO) that meets the national threshold set out in the Housing Act 2004 and the Licensing of Houses in Multiple Occupation (Mandatory Conditions of Licences) (England) Regulations 2018.

Unlike selective licensing or additional licensing, which apply only in areas where a council has made a specific designation, mandatory HMO licensing applies across the whole of England. If your property meets the threshold, a licence is required regardless of where it is located.

What Properties Require a Mandatory HMO Licence?

A mandatory HMO licence is required for any property that is:

Occupied by five or more people forming two or more separate households, and
Where those occupants share facilities such as a kitchen, bathroom, or toilet

This definition was extended in October 2018 to include smaller HMOs of any number of storeys (previously only properties of three or more storeys were covered). The change brought an estimated 160,000 additional properties into the mandatory licensing regime.

Common examples of properties requiring a mandatory HMO licence include large student houses, shared professional accommodation, and bedsits where five or more people from different households share common areas.

What Does a Mandatory HMO Licence Require?

Mandatory HMO licences are issued by the local council and typically last five years. Licence conditions cover:

Minimum room sizes: since October 2018, rooms used as sleeping accommodation must meet minimum size requirements (6.51 square metres for one adult, 10.22 square metres for two adults)
Fire safety: adequate fire precautions, including fire doors, smoke alarms, and escape routes
Gas and electrical safety: annual gas safety checks and electrical installation inspections every five years
Management standards: the property must be managed effectively, including addressing anti-social behaviour

Penalties for Operating Without a Mandatory HMO Licence

Operating an HMO without a mandatory licence is a criminal offence. Our guide to rental licensing fines explains the full range of penalties, including civil financial penalties, Rent Repayment Orders, and the increased limits under the Renters' Rights Act 2025. The High Court has confirmed that it is a continuing offence, meaning that each day the property remains unlicensed constitutes a separate offence.

Penalties include:

Civil financial penalties of up to £30,000 under the Housing and Planning Act 2016, rising to up to £40,000 for serious or repeat offences under the Renters' Rights Act 2025 from 1 May 2026
Rent Repayment Orders (RROs): tenants can reclaim up to 12 months of rent (rising to 24 months under the Renters' Rights Act 2025)
Inability to serve a Section 21 notice to regain possession

Recent enforcement examples include a north London landlord ordered to pay £9,000 after his unlicensed HMO was found to be dangerous (BBC News, January 2026), and landlords from Uxbridge ordered to pay £7,177 for renting an unlicensed HMO (Hillingdon Council, December 2025).

Mandatory vs Additional vs Selective Licensing

Feature	Mandatory HMO	Additional	Selective
Geographic scope	National (all of England)	Designated areas only	Designated areas only
Applies to	HMOs with 5+ occupants (2+ households)	HMOs with 3-4 occupants (2+ households)	All private rentals
Council designation needed	No	Yes	Yes

It is possible for a property to require both a mandatory HMO licence and to fall within a selective or additional licensing area. In such cases, the property will need to comply with both sets of requirements.

How to Check If Your Property Needs a Mandatory HMO Licence

If your property has five or more occupants from two or more households sharing facilities, a mandatory HMO licence is required regardless of location. Use the Tuxa property licence checker to check whether your property also falls within a selective or additional licensing area. You can also read our guide to staying compliant with HMO licensing for practical steps on maintaining compliance., which would require an additional licence.

Check Your Property Now

The fastest way to find out whether your property needs a licence is to use the Tuxa property licence checker — enter any UK address and get an instant result showing which schemes apply, scheme dates, and a direct link to the council's licensing page.