Who is responsible for applying for a HMO licence - landlord or agent?

If you own or manage a rented property and you’ve heard the words “HMO licence”, you’ve probably also wondered:

Is this my job or my agent’s?

It’s a common question and getting it wrong can be expensive.

Let’s break it down in plain English.

First, what is an HMO licence?

An HMO (House in Multiple Occupation) is usually a property rented to 3 or more people from 2 or more households who share facilities like a kitchen or bathroom.

Many HMOs require a licence from the local council. Some require a licence because of mandatory licensing rules, others because the council has introduced additional licensing in that area.

If a property should be licensed and isn’t, the consequences can include:

• Civil penalties of up to £30,000
• Rent Repayment Orders (RROs)
• Difficulty serving a valid Section 21 notice
• Criminal prosecution in serious cases

So knowing who’s responsible matters.

The short answer: It’s usually the landlord

Legally, the responsibility to apply for an HMO licence usually sits with the “person having control” or “person managing” the property. In most cases, that’s the landlord.

Even if you use a letting agent, the local authority will normally pursue the landlord if the property is unlicensed.

You can’t simply say: “My agent was supposed to deal with it.”

From the council’s point of view, the legal responsibility doesn’t disappear because you’ve outsourced management.

But what about letting agents?

Here’s where it gets slightly more nuanced.

A managing agent can apply for a licence on behalf of the landlord. In fact, many do.

However:

• The licence is typically granted to the landlord (or sometimes jointly).
• The landlord remains legally responsible for ensuring the property is licensed.
• If the agent fails to apply, enforcement action can still land on the landlord.

In some cases, agents can also face action if they are considered the “person managing” the property but this does not remove the landlord’s risk.

What does your management agreement say?

If you use an agent, check your contract carefully.

Does it say they:

• Handle licensing applications?
• Monitor licensing changes?
• Take responsibility for compliance?

Some agents include this as part of full management. Others don’t.

But even if the contract says the agent will deal with it, that’s a private agreement between you and the agent. It doesn’t override housing law.

If something goes wrong, you may need to recover losses from the agent but you could still face enforcement first.

So what should landlords do?

Even if you have a managing agent:

1. Check whether your property requires a licence.
2. Confirm in writing who is submitting the application.
3. Ask for proof once it has been submitted.
4. Keep a copy of the licence.
5. Diarise renewal dates.

Ultimately, you need to protect yourself.

And what if you’re an agent?

Agents should:

• Clearly define responsibilities in their contracts
• Flag licensing requirements early
• Avoid assuming a landlord knows the rules
• Keep written evidence of advice given

Licensing is one of the most common areas where landlords get caught out and where agents risk reputational damage.

The bottom line

In most situations, the landlord is legally responsible for ensuring an HMO licence is in place - even if an agent manages the property.

You can delegate the task. You cannot delegate the liability.

If you’re unsure whether your property requires a licence, don’t guess. Use Tuxa to check in seconds and avoid the risk altogether.

Because when it comes to licensing, “I thought someone else had done it” is not a defence.