Vale of White Horse District Council
Abbey House, Abbey Close,
Abingdon, OX14 3JE
Email: comments@whitehorsedc.gov.uk
Telephone: 01235 520202

Vale of White Horse District Council

Houses in multiple occupation (HMOs)

What is an HMO?

In most instances, a House in Multiple Occupation (HMO) will be a property (house or flat) which is let to three or more tenants, forming two or more households and who share either a kitchen, bathroom, or toilet.

The definition of an HMO in accordance with the Housing Act 2004 can be summarised as:

• An entire house or flat which is let to three or more tenants who form two or more households and who share a kitchen, bathroom or toilet
• A house which has been converted entirely into bedsits or other non-self-contained accommodation and which is let to three or more tenants who form two or more households and who share kitchen, bathroom or toilet facilities
• A converted house which contains one or more flats which are not wholly self contained (i.e. the flat does not contain within it a kitchen, bathroom and toilet) and which is occupied by three or more tenants who form two or more households
• A building which is converted entirely into self-contained flats if the conversion did not meet the standards of the 1991 Building Regulations and more than one-third of the flats are let on short-term tenancies.
• In order to be an HMO the property must be used as the tenants' only or main residence and it should be used solely or mainly to house tenants. Properties let to students and migrant workers will be treated as their only or main residence and the same will apply to properties which are used as domestic refuges.

Licensingof HMOs

As part of the Housing Act 2004, compulsory licensing of HMOs has been introduced (also known as mandatory licensing). This is intended to help improve standards, particularly in larger, high-risk HMOs, and to ensure that these properties are managed by "fit and proper persons".

Local Authorities, such as the Council, can also introduce "Selective" or "Additional" licensing. This can sometimes be used as a means of tackling anti-social behaviour in certain areas, by extending licensing beyond mandatory requirements.

Which properties must obtain an HMO License?   

All HMO’s that comprise threeor more storeys and are occupied by fivepeople or more who form more than one household, are now subject to mandatory licensing in accordance with the Licensing of Houses in Multiple Occupation (Prescribed Descriptions) (England) Order 2006.

Councils issuing the license is allowed to charge fees for dealing with an HMO licence application. When it has been approved, a licence will remain valid for five years. 

The Vale of White Horse District Council has currently set the licence fee at £300 for a property of up to five units of accommodation, with a further fee of £25 for each additional unit of accommodation. However, since fees are set locally, they can vary from place to place. 

What can happen if an HMO which should be licensed is operating without one?  

It is the landlord’s responsibility to apply to the Local Authority for an HMO license. A number of checks will be made to ensure the landlord is a "fit and proper person" to run an HMO. It is not a defence to plead ignorance of the law. 

It is an offence to operate a licensable HMO without having obtained a license.

The current fine that can be imposed is £20,000.

• In addition, any Housing Benefit paid to the landlord for an unlicensed HMO, can be repayable to the local authority (subject to a Residential Property Tribunal order).
• Also, in some circumstances, tenants can apply to the Residential Property Tribunal for a Rent Repayment Order if they have paid rent to a landlord who has failed to obtain an HMO licence.

A local authority can apply to a Residential Property Tribunal to manage an HMO that is not licensed. This means the Council takes over management responsibilities from the landlord in respect to the property, including collection of rent and carrying out repairs etc.  This is referred to as an Interim or Final Management Order. 

HMO Licensing Conditions

To improve standards in HMOs, landlords of all licensable properties must:

• Specify maximum number of occupants
• Submit a valid copy of a gas safety certificate (in accordance with the Gas Safety Regulations 1998)
• Ensure safety of all electrical appliances and furniture
• Install and properly maintain correctly sited smoke alarms throughout a property
• Provide each occupant with a written statement about terms and conditions i.e. a tenancy agreement.

The Council can also impose a range of other conditions if deemed warranted.

Any breach of licensing conditions can result in prosecution and may result in a £5,000 fine upon summary conviction.

What can be done to improve poor standard HMOs?

In addition to HMO Licensing requirements, local authorities also have powers under the Housing Health and Safety Rating System – which is an integral part of the Housing Act 2004 - in order to help achieve improvements within the private sector housing stock.

The Housing Health and Safety Rating System (HHSRS), is a means of identifying and reducing likely health harms within properties. The underlying principle of the HHSRS is that "Any residential premises should provide a safe and healthy environment for any potential occupier or visitor".

Depending upon the assessment of conditions using the HHSRS, a number of options are available to local authorities in a bid to minimize health harms. Action can include informal letters or formal service of a range of statutory notices (which could lead to prosecution).

Action taken is in accordance with the Statutory Code of Practice made under the Legislative and Regulatory Reform Act 2006, which focuses upon enforcement action proportionate to the degree of perceived risk.

What happens about non-licensable HMOs?

At the moment two-storey HMOs are not licensable. However, the Vale Council still has powers to inspect these properties and assess health harms using the HHSRS in exactly the same way as larger properties.

In addition to the 29 health harms assessed under the HHSRS, there is also separate specific legislation to tackle other housing problems such as overcrowding, public health concerns, drainage issues etc.

For further advice about HMOs please contact the Housing Operations Team.