Additional HMO licensing in Merton

Yes. Merton operates an additional HMO licensing scheme. Letting a covered property without a licence risks a civil penalty of up to £40,000 and a rent repayment order of up to two years' rent.

Legal basis
Housing Act 2004, section 56
Areas covered
Seven wards: Figge's Marsh, Graveney, Longthornton, Pollards Hill, Colliers Wood, Cricket Green, Lavender Fields
In force from
24 September 2023
Runs until
23 September 2028
Last verified
25 Aug 2026

Common questions

Do I need an additional HMO licence in Merton?

Yes. Merton operates an additional HMO licensing scheme. Letting a covered property without a licence risks a civil penalty of up to £40,000 and a rent repayment order of up to two years' rent.

Which areas of Merton does the scheme cover?

Seven wards: Figge's Marsh, Graveney, Longthornton, Pollards Hill, Colliers Wood, Cricket Green, Lavender Fields. Confirm a specific address against the council's own designation map before applying.

When does Merton's scheme end?

The designation runs until 23 September 2028, unless the council revokes it earlier under section 84 of the Housing Act 2004.

What does the licence cost?

£267. Councils commonly discount for accredited landlords and early applications; confirm the current figure with Merton before budgeting.

Additional HMO licensing feePaid in two parts
£267

Paid in two parts — one on application, the balance before the licence is issued.

  • Discount
  • Banded by bedrooms with a flat Part A of £267: from £1,566 (2 bedrooms) rising to £1,674 at the top band, per the council's licensing fees page marked last updated 1 April 2026, the same page read live for the selective fee, research live-read 24 Aug 2026

Merton, read 25 August 2026

What the designation says

The London Borough of Merton operates an additional HMO licensing scheme covering seven wards. The scheme was approved by Cabinet on 19 June 2023, came into force on 24 September 2023, and runs for 5 years until 23 September 2028. Applies to all HMOs not covered by mandatory licensing in Figge's Marsh, Graveney, Longthornton, Pollards Hill, Colliers Wood, Cricket Green, and Lavender Fields wards. The scheme includes section 257 HMOs (converted blocks of flats where less than two thirds are owner-occupied and the conversion did not comply with relevant Building Regulations). Approximately 700-1,000+ unlicensed HMOs estimated in the area. Licence fee starts at £1,450 for a two-bedroom property. Article 4 Direction also applies in these seven wards (since 17 November 2022, made permanent April 2023) requiring planning permission for C3 to C4 conversions.

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.

Merton's own licensing page →

Free compliance audit →Five questions, no account. Every duty that applies to your property, licensing included.Check your tenancy agreement →Clauses that stopped being lawful on 1 May 2026 are still in circulation. We check the agreement against current law.

Information tool, not legal advice. Confirm the position with Merton before letting.

Landlord HQ uses AI to analyse legislation and tenancy agreements. While we work hard to ensure accuracy, AI can make mistakes. Always verify compliance requirements with a qualified solicitor. Landlord HQ is an information tool, not legal advice.

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