Mandatory House in Multiple Occupation (HMO) licensing

Article 4 Directions

The council has confirmed an Article 4 direction to remove the permitted development right for the change of use from a residential dwelling (C3) to a small HMO (C4). As well as an Article 4 direction to remove permitted development rights for changes of use from shops, restaurants, financial and professional services and offices (Class E uses) (including buildings where these uses are combined with residential) to a residential dwelling (C3 use class).

This means that Planning Permission is required for these changes of use and should be applied for from the council.

Apply for planning permission

Mandatory House in Multiple Occupation (HMO) Licensing

A HMO is a house or a flat which is occupied by three or more unrelated persons, who do not form a single household and share amenities such as bathrooms – this definition is supported by Sections 254, 257 and 258 of the Housing Act 2004.

It may sometimes be referred to as a ‘house share’

A HMO could be a:

• house split into separate bedsits
• shared house or flat, where the sharers are not members of the same family
• hostel
• bed-and-breakfast hotel that is not just for holidays
• shared accommodation for students – although many halls of residence and other types of student accommodation owned by educational establishments are not classed as HMOs.

There are two current HMO licensing schemes in the borough which are; Mandatory and Additional Licensing. Tower Hamlets also has a Selective Licensing Scheme.

Mandatory Licence HMOs?

It has been a legal requirement to licence properties that are defined as Mandatory HMOs since 2006. You must have a licence if you’re renting out an HMO that falls under the Mandatory Licensing prescribed definition.

This definition changed in October 2018, in brief the following properties will need to be licensed under the mandatory scheme;

• all HMOs with five or more occupiers living in two or more households who share some amenities such as a kitchen or bathroom regardless of the number of storeys
• self-contained flats where there are up to two flats in the block and one or both of the flats are occupied by five or more persons in two or more separate households. This will apply regardless of whether the block is above or below commercial premises. This will bring certain flats above shops on high streets within mandatory licensing as well as small blocks of flats which are not connected to commercial premises.

It is the individual HMO that is required to be licensed and not the building within which the HMO is situated.

This means that where a building has two flats and each is occupied by five persons living in two or more households, each flat will require a separate HMO licence.

Your can read more about mandatory licences and the recent changes to the definition that came into force on 1 October 2018. 

Since 1 October 2018, mandatory licensing applies to all HMOs with 5+ occupants from 2+ households, regardless of the number of storeys. If your property was previously exempt due to fewer than three storeys, you now require a mandatory licence.

Apply for a Mandatory Licence

Apply online. Please read the guidance notes to ensure that you make your application successfully.

IMPORTANT NOTICE – Licensing Fees from 1 April 2026

New licensing fees apply to all applications received on or after 1 April 2026, as approved by the Mayor in Cabinet on 7 January 2026 and 28 January 2026, and adopted by Full Council on 25 February 2026. The updated fee schedule is published in the tables below.

Please note: The Council’s online licensing portal is currently being updated to reflect the new fee amounts. During this transitional period, the portal may display or collect the previous fee. The fees published on this page are the correct fees payable.

If you submit an application through the portal and the fee collected is less than the published 2026/27 fee, the Council will contact you to arrange payment of the outstanding balance. Your application will not be processed until the correct Part A fee has been received in full. No licence will be granted until all fees, including Part B, have been paid.

We apologise for any inconvenience during this transition. If you have any questions, please contact the Housing Licensing team at housinglicensing@towerhamlets.gov.uk.

Apply for a Mandatory Licence

Amenities and room sizes

Tower Hamlets has adopted a set of amenity and room size standards at its October 2018 Cabinet meeting.

Any rooms below the Tower Hamlets minimum space standard above will not normally be considered suitable for sleeping accommodation although discretion may be granted if there is sufficient other communal space available to the occupiers.

No rooms below 6.5m2 will be considered as suitable for sleeping rooms under any circumstances.

The amenity standard assures that residents have access to sufficient number of cooking and bathing facilties etc.

See the standards required.

Length of the licence term

The licence is valid for three years in Tower Hamlets assuming no significant changes to the property or the ownership in that time.

If changes do occur within the licence period, the licence holder must inform the council. The council issue a licence for a shorter term under some circumstances.