A detailed guide to additional HMO licensing in London, explaining borough-specific schemes, legal requirements, application costs, and how Fraser Bond supports landlords with full compliance and investment advisory services.
Additional licensing HMO London schemes are expanding across boroughs, increasing regulatory obligations for landlords operating smaller Houses in Multiple Occupation.
While mandatory HMO licensing applies nationally to larger HMOs, additional licensing is introduced at borough level to regulate smaller shared properties. Failure to comply can lead to significant fines and enforcement action.
Fraser Bond provides structured compliance support, licence application management, and advisory services to ensure landlords remain fully aligned with London’s evolving property regulations.
Additional HMO licensing is a borough-specific scheme introduced under the Housing Act 2004. It typically applies to:
HMOs with three or four tenants
Properties occupied by two or more households
Smaller shared houses and flats not covered by mandatory licensing
Unlike mandatory HMO licensing, additional licensing is not nationwide. It depends entirely on the policies of the local London council.
Boroughs such as Camden, Hackney, Tower Hamlets, Newham, and Haringey have implemented additional licensing schemes to address housing standards and management concerns.
Landlords must check whether their property falls within an active scheme.
London’s rental market is subject to increasing oversight. Additional licensing schemes aim to:
Improve property conditions
Raise management standards
Reduce anti-social behaviour
Strengthen tenant safety
For landlords and property investors, compliance protects:
Rental income continuity
Mortgage and insurance validity
Ability to serve possession notices
Long-term asset value
Professional compliance management is now a fundamental part of operating an HMO in London.
The application process for additional licensing in London is similar to mandatory licensing but applies to smaller properties.
Gas Safety Certificate
Electrical Installation Condition Report
Fire safety measures and alarms
Energy Performance Certificate
Floor plans
Management arrangements details
Proof of fit and proper person status
Each borough may impose slightly different standards, including room size requirements and amenity provisions.
Fraser Bond conducts pre-application compliance audits to ensure documentation and property standards meet borough-specific criteria before submission.
Licence fees vary significantly across London boroughs. Typical ranges include:
£700 to £1,200 for smaller HMOs
Higher fees for larger shared properties
Some councils structure payments in two stages, while others require full payment upfront.
These costs should be factored into rental yield calculations and long-term portfolio planning.
Fraser Bond’s investment advisory team assists landlords in assessing compliance costs against projected returns.
Operating a property that requires additional HMO licensing without a valid licence can result in:
Civil penalties up to £30,000
Rent Repayment Orders
Criminal prosecution
Banning orders
Inclusion on the rogue landlord database
London boroughs have increased enforcement activity, particularly in areas with high-density rental markets.
Proactive compliance reduces financial exposure and reputational risk.
Investors purchasing HMOs in London must conduct thorough licensing due diligence. Additional licensing schemes can affect:
Acquisition costs
Refurbishment requirements
Rental pricing strategy
Exit valuation
Fraser Bond supports investors with:
Licensing checks before purchase
Yield assessments
Compliance cost forecasting
Lettings and ongoing management
Explore HMO property opportunities and landlord compliance services at FraserBond.com.
Additional licensing HMO London schemes are complex and borough-specific. Landlords must remain informed and proactive to avoid enforcement action.
Fraser Bond delivers:
Additional HMO licence applications
Renewal management
Portfolio-wide compliance tracking
Lettings and tenant management
Strategic property investment advice
For tailored guidance on additional HMO licensing in London, visit FraserBond.com and speak with our compliance specialists.