Scope: England and Wales, First-tier Tribunal (Property Chamber). Verified against the legislation on 14 August 2026. Procedure and directions vary by case; this is the shape of it, not advice on yours.
What a rent repayment order is is covered separately. This is what to do when one arrives.
What has actually happened
A tenant — or a council — has applied to the First-tier Tribunal for an order that you repay rent, for a period of up to twelve months, on the basis that you committed one of a defined list of offences. The commonest by far is controlling or managing an unlicensed property.
No criminal conviction is required. The tribunal decides for itself, to the criminal standard, whether the offence was committed. Landlords routinely assume that not having been prosecuted is an answer. It is not.
What the applicant must establish
- That an offence was committed — proved beyond reasonable doubt, but before a tribunal rather than a criminal court.
- That they paid the rent in the period claimed, and that the period is within the twelve months before the application.
- That they were the occupier under a tenancy of the property in that period.
For an unlicensed HMO the first limb is often close to automatic: the council's register shows no licence, the property's occupation is not in dispute, and the offence is one of strict liability subject to a narrow statutory defence.
The defence that almost never works
"I did not know a licence was needed." The statutory defence is reasonable excuse, and ignorance of a designation is not ordinarily one. Councils publish designations; the information was available.
What has more prospect:
- The property was not licensable — the occupancy did not meet the threshold, or the address falls outside the designated area. Check the boundary carefully; designations follow wards, not towns.
- An application was validly made and duly pending — which is a specific statutory position, not the same as intending to apply.
- You were not the person having control or managing — live where an intermediary was involved, see rent-to-rent.
- The period or the sum is wrong — rent actually paid, by whom, and whether it included utilities the tribunal should strip out.
What reduces the amount
Even where the offence is made out, the award is not automatically twelve months' rent. The tribunal weighs conduct and circumstances, and these matter:
- Your conduct — did you licence promptly once you knew? Cooperate with the council?
- The tenant's conduct, where relevant.
- Your financial circumstances.
- Whether you have been convicted of the offence.
- The standard of the property. A well-run, safe, compliant-in-every-other-respect property is a materially different case from a hazardous one, and tribunals say so.
Utilities and other sums that were not rent can generally be excluded, which is worth doing carefully — on an all-inclusive HMO rent it can move the figure substantially.
What to do in the first week
- Read the directions and diarise every date. Tribunal deadlines are real and missing one is the worst way to lose.
- Establish the licensing position factually — was the property licensable, from when, and was an application made? Get the council's register entry.
- Assemble the rent record, separating rent from utilities and other charges.
- Gather the compliance file — certificates, alarms, assessments. It goes to standard of property and to conduct: see what to keep and for how long.
- If the property is licensable and unlicensed, apply now. It does not undo the offence, but the tribunal weighs conduct and continuing to operate unlicensed while defending is indefensible.
- Take advice. The sums are large and the procedure is unforgiving.
It rarely arrives alone
The same facts support a civil penalty of up to £30,000 from the council, and repeat conduct supports a banning order. A tenant's RRO application is frequently the first the landlord hears of a problem the council is also looking at — see the full consequence set.
Check the address free to establish which licensing regimes apply to it today.
Try the tool. Before you model the order, price what sits beside it. The fine calculator carries the instrument next to every figure and separates civil penalties from unlimited fines.
Common questions
Can a tenant get a rent repayment order without me being convicted?
Yes, and this is the commonest misunderstanding. The First-tier Tribunal decides for itself whether the offence was committed, to the criminal standard but in civil proceedings. Never having been prosecuted is not an answer to the application.
Is "I did not know I needed a licence" a defence?
Almost never. The statutory defence is reasonable excuse, and ignorance of a designation is not ordinarily one — councils publish designations and the information was available. Arguments with more prospect are that the property was not licensable at all, that the address falls outside the designated area, that a valid application was duly pending, or that you were not the person having control or managing.
Will I have to repay twelve months' rent?
Not automatically. Even where the offence is made out the tribunal weighs your conduct, the tenant's conduct, your financial circumstances, whether you have been convicted, and the standard of the property — a safe, well-run property compliant in every other respect is a materially different case. Sums that were not rent, such as utilities, can generally be excluded, which on an all-inclusive HMO rent moves the figure substantially.
Should I apply for the licence now that the claim has been made?
If the property is licensable and unlicensed, yes. It does not undo the offence, but the tribunal weighs conduct, and continuing to operate unlicensed while defending the application is indefensible. Do it and evidence when you did it.