Additional HMO licensing in Lambeth

Common questions

What the designation says

London Borough of Lambeth operates a BOROUGH-WIDE Additional HMO Licensing Scheme that came into force on 9 December 2021 and runs for 5 years until 8 December 2026 . Decision made by Cabinet Member for Housing and Homelessness Cllr Maria Kay on 8 September 2021. Designation under section 56 of the Housing Act 2004. Any property occupied by 3 or more individuals forming 2+ households that is not captured by Mandatory HMO Licensing. Includes: - Multiple-occupied flats in purpose-built blocks containing more than 2 flats where the flat is occupied by 3 or more persons - Section 257 HMOs — buildings converted into self-contained flats where ALL the following are true: the conversion did not comply with 1991 Building Regulations and still does not comply Approximately 5,000 HMOs in scope including house and flat shares, bedsits, and some converted buildings. Famous areas covered include Brixton, The Oval, Crystal Palace, and Waterloo. £520 per habitable room (£506 in earlier reporting; updated to £520 per habitable room from 1 April 2025 — current as of November 2025). For a 5-bedroom HMO that is £2,600 per licence — currently the highest per-bedroom HMO fee in the UK . For section 257 applications, £520 per self-contained flat in the converted building. A habitable room is defined as a room used for sleeping (dining/living rooms not counted). Two-part fee structure: two-thirds Part A on application (processing); one-third Part B on approval. Lambeth has REMOVED the renewal discount as of April 2025. Discounts: £75 to Part B for accredited landlords (LLAS, NRLA etc) — significantly reduced from the previous 20% discount which would have saved £520 on a 5-bed HMO. NO discounts where council has made 2 requests for additional documents OR served a warning letter for failure to licence. 22 conditions in total. Cover fire safety, gas safety (annual certificate), electrical safety (5-year EICR), structural condition, kitchen/bathroom facilities, room sizes, waste management, anti-social behaviour management, written tenancy agreements, fit and proper person test. Lambeth notes that landlords unable to meet these requirements must appoint a letting agent or other third party to manage the property. Schedule 14 of the Housing Act 2004 — properties controlled or managed by public sector bodies, registered social housing providers, etc. Lambeth has reported a notable backlog following the Additional Licensing scheme launch — applications take time to process. Made on 7 August 2024 (non-immediate), confirmed 24 July 2025, came into force 11 August 2025. Covers Streatham Common & Vale and Streatham St Leonard's wards. From 11 August 2025 planning permission is required for change of use C3 → C4 in these wards. Not retrospective. Civil financial penalty up to £40,000 per offence. Unlimited fine on conviction. RROs up to two years' rent for offences on or after 1 May 2026 (12 months before that date). Council may issue Interim Management Orders to take management control of an unlicensed HMO. lambeth.gov.uk/housing/landlords-licensing online application portal. Section 21 was abolished on 1 May 2026; possession now runs through the amended section 8 grounds. The £40,000 ceiling applies to offences committed on or after 1 May 2026; the £30,000 ceiling still applies to offences committed before that date.

What this means for a landlord

A licence must be in place before the property is let, not applied for afterwards. Operating unlicensed in a designated area is a criminal offence: a civil penalty of up to £40,000 per offence and a rent repayment order of up to two years' rent. Both maxima apply to conduct on or after 1 May 2026; before that date they were £30,000 and twelve months. Section 21 was abolished on 1 May 2026 and possession now runs through the amended section 8 grounds. Mandatory HMO licensing applies separately and everywhere, wherever a property is let to five or more people forming two or more households.

Lambeth's own licensing page →