The number of houses in multiple occupation (HMO) licences being granted by local planning authorities (LPAs) is on the decline across much of the UK, according to recent research.
The latest data from property software operation Searchland reveals the number of HMO licences has dropped in most areas other than Oxford, Bristol and parts of London.
Large HMOs require a licence from the LPA.
A property is classed as an HMO if at least three tenants live there, forming more than one household – and toilet, bathroom or kitchen facilities are shared with other tenants.
A building is counted as being a large HMO if at least five tenants live there, forming more than one household – and toilet, bathroom or kitchen facilities are shared with other tenants.
There are believed to be approximately 3,000 HMOs in Norwich but only around 1,000 of these are required to be licensed under the national mandatory scheme.
The City Council is currently overhauling its HMO policy and a public consultation has now been completed.
Searchland’s data shows the number of new HMO licences granted by LPAs across the country fell by 1,498 last year.
While 2023 saw a total of 25,445 new licences issued, 2024 saw just 23,947 – an annual drop of 5.9 per cent.
Co-founder of Searchland, Hugh Gibbs, said: “There’s been a decline in the annual number of HMO licenses being granted by councils across Britain at a time when we arguably need more rental accommodation to ease the high demand from tenants.
“This reduction has no doubt been driven by a greater reluctance from councils due to a move towards risk-based licensing, but it’s also fair to say that tighter regulations, particularly with regard to mandatory room sizes, may have also deterred investment.”
