For landlords and investors licensing a shared house
HMO Licence Cost: Fees by Council
Sviatoslav JerdetchiiCEO & Founder of Craftex. Updated , 7 min read
The short answer
The cost of a HMO licence is set by each council, so it differs by area. Brent charges £1,040 for a mandatory HMO licence, and Wandsworth £1,827 for one with five bedrooms.
- Most councils split the fee: Part A when you apply, Part B when the licence is granted.
- Some councils charge by the room: Lambeth charges £550 per letting from 1 April 2026.
- An HMO licence in England lasts for a maximum of 5 years, and the renewal is charged again.
- The works the licence conditions require are a separate cost, on top of the council fee.
The cost of a HMO licence is set by each council, so it differs by area. Brent charges £1,040 for a mandatory HMO licence, and Wandsworth £1,827 for one with five bedrooms. Most councils take the fee in two parts.
This guide lists the fees we opened on council websites on 4 November 2026. They are council fees, not our prices.
It covers how councils set the fee, a London borough table, the Part A and Part B split, renewal, and the works a licence triggers.
The fee is not the only number. The works the licence conditions call for, such as fire doors, alarms and bedroom sizes, can cost more.
Our team takes a house through HMO conversion, from the planning route to a licence-ready layout, with construction in-house. Before you buy, our free HMO route check shows which licence the house needs and the rooms that pass.
How councils set HMO licence fees
No national price list exists. Section 63 of the Housing Act 2004 lets the council require a fee "fixed by the authority" with each application.
When it fixes the fee, the council may count the costs of running its HMO licensing. It may also count some related enforcement costs.
A second rule caps the charge. The Provision of Services Regulations 2009 say a licensing charge must be reasonable and proportionate to the council's costs. It must not exceed them.
Haringey's fee schedule says its scheme is meant to be cost neutral over five years. It also says the council may adjust fees as costs change.
Councils then build the fee from a few inputs:
- Size. Some charge per room, per letting or per occupant.
- Licence type. Mandatory, additional and selective licences often cost different amounts.
- Discounts. Accredited landlords and good energy ratings often pay less.
- How you apply. Tower Hamlets charges more for postal applications than online ones.
You cannot change the council's fee. You can price the works before you buy, so check the house against the licence conditions first.
HMO licence cost by London borough: 2026 fee table
The table shows the fees each council publishes on its own website. We opened every page on 4 November 2026. Fees change, so check the council's page before you apply.
Some councils call the parts Part 1 and Part 2. The meaning is the same: one payment on application, one when the licence is granted.
| Council | Licence | On application (Part A) | On grant (Part B) | Total fee |
|---|---|---|---|---|
| Brent | Mandatory HMO | £540 | £500 | £1,040, plus £25 per habitable room over the first five |
| Brent | Additional HMO | £540 | £500 | £1,040 |
| Croydon | Additional HMO (2026 scheme) | £750 | £500 | £1,250 |
| Haringey | Full HMO licence (2024 to 2029 scheme) | £618 | £742 | £1,360, plus £50 per unit above 5 at each part (mandatory HMOs) |
| Lambeth | HMO, per letting (from 1 April 2026) | £366.67 | £183.33 | £550 per letting |
| Lewisham | Mandatory or additional, per lettable unit (fee shown on the council page, checked 4 Nov 2026) | £250 | £250 | £500 per unit |
| Tower Hamlets | Mandatory HMO, online | £453.50 | £583.50 | £977 if paid at once, plus £68.50 per habitable room |
| Tower Hamlets | Additional HMO, online | £618 | £787.50 | £1,323 if paid at once |
| Wandsworth | Mandatory HMO, 5 bedrooms | £1,152 | £675 | £1,827 |
| Wandsworth | Additional HMO | £903 | £604 | £1,507 |
The same house can cost very different sums in two boroughs. Lambeth's own table puts a five-letting HMO at £2,750. Brent charges £1,040 for a mandatory licence up to five habitable rooms.
Wandsworth's mandatory fee rises with the bedrooms, from £1,711 for 3 to £2,117 for 10 or more. Tower Hamlets charges more when you pay in two parts, to cover the extra processing.
Boroughs whose fee pages we could not open are left out. Our guide to HMO licence rules explains which houses need which licence.
HMO licence fees outside London: Birmingham and Edinburgh
Birmingham and Edinburgh are outside London, and their fees follow their own rules.
Birmingham runs additional licensing for smaller HMOs. Since 5 June 2023, an HMO with 3 or 4 occupants from 2 or more households needs a licence there. Check the council's page for the current fee.
Edinburgh is in Scotland, where the Scottish Government issues its own statutory guidance on HMOs. The council's fee list shows one fee per application, based on the number of occupants. You choose a one or three-year licence.
| Occupants | 1-year licence | 3-year licence |
|---|---|---|
| 3 | £164 | £424 |
| 5 | £448 | £708 |
| 6 | £629 | £889 |
Edinburgh says its fees are non-refundable, except in exceptional circumstances. A licence in its first year may be granted for a minimum of 6 months.
Wherever the house is, its licence conditions set the works. Send us the address and we check the rooms against them.
We used Craftex for a shop-to-flat conversion in Chelsea — turning an old retail space into two rental units. Access wasn’t the easiest, but the guys handled it well, no drama. Quote was clear, no hidden extras, and they actually stuck to it, which is rare. Finish came out solid, exactly what we needed for rentals. Joe (PM) kept things ticking and communication was always on point. All in all, smooth job — would use them again for sure.👍
Part A and Part B: how the HMO licence fee is split
Every London council in our table takes the fee in two parts. Brent, Croydon and Wandsworth describe them in almost the same words.
- Part A, on application. It covers processing the application and checking it is valid. You pay it when you apply.
- Part B, on grant. It covers running and enforcing the licensing scheme. The council asks for it once it decides to grant the licence.
Since 1 October 2026, the regulations say a charge for deciding an application may relate only to the cost of deciding it.
Brent, Croydon and Wandsworth say Part A is not refunded if the application is refused. Wandsworth adds that only Part A is payable when it refuses a licence.
Brent lets you pay both parts upfront, and refunds Part B if the licence is then refused. If Brent asks for Part B and you do not pay within 28 days, the application is cancelled. The licence is only issued once the full fee is paid.
If the application is refused, Part A is lost. Check the bedroom sizes and fire safety against the conditions before you apply, not after.
HMO licence renewal fees and licence length
In England, an HMO licence lasts for a maximum of 5 years. Section 68 of the Housing Act 2004 sets that limit, and GOV.UK says you must renew before it runs out.
Renewal is charged again, and councils treat it differently:
- Brent charges less to renew: £940 instead of £1,040, split £500 and £440.
- Tower Hamlets lists the same fee for new and renewal applications.
- Lambeth no longer gives a renewal discount, so a renewal costs £550 per letting.
- Birmingham asks you to apply at least two months before the licence runs out.
Some licences are shorter than 5 years. Brent issues licences for one or five years, and aims for five where it can. Croydon prices a one-year additional licence at £850.
A licence cannot be transferred to another person. If you buy a licensed HMO, you apply and pay for a new licence. Before you exchange, budget for that fee and for any works its conditions need.
Works the licence triggers, and what an HMO conversion costs
The fee is only part of the cost. The licence comes with conditions, and meeting them can mean building work.
GOV.UK lists the basics. You must send the council a gas safety certificate every year and install smoke alarms. You must also show electrical safety certificates when asked.
The council may add conditions, such as improving the facilities. In England, every licence also sets minimum bedroom sizes.
Councils ask for evidence with the application. Birmingham wants fire alarm and emergency lighting test certificates and an energy certificate. It also asks where the smoke alarms, emergency lighting and fire doors are.
| Tier | What it covers | Our 2026 rate per m² |
|---|---|---|
| Light HMO works | Layout kept: FD30 fire doors, interlinked alarms, rewire, kitchen and bathroom upgrades | £1,040 to £1,300 |
| Standard HMO conversion | New partitions, en-suites to most rooms, services rerouted | £1,400 to £1,750 |
| Full HMO conversion | Back to the shell: structure, all new services, fire strategy | £1,760 to £2,200 |
Your fixed figure comes after a survey. Enter your floor area in our HMO conversion cost calculator for a first range. Our guide to HMO conversion standards covers fire doors, kitchens and layouts.
Already have a quote for the works? Send it to us. We'll beat it.
Before you apply for an HMO licence
Budget for two things: the council fee and the works the conditions require. The fee is fixed and published. The works depend on the house.
Our guide to what an HMO is explains the use classes and the three licence types.
We have been in the market since 2016, and construction is an in-house department. Our Development Director, Rob Barton, is a former housebuilding managing director. Send us the address for a free HMO route check. We check the planning route, the licence and the rooms the house can hold before you commit.
Before you apply or buy
- Which licence the house needs: mandatory, additional or selective
- The council's current fee, Part A and Part B
- Any discount for accreditation or a good energy rating
- Every bedroom size against the 6.51 m² and 10.22 m² minimums
- Fire alarms, fire doors and escape routes
- Gas and electrical certificates ready to send
