HMO clampdown jeopardises rental supply
Summary
An analysis of 144 English councils suggests planning refusals for HMOs have more than doubled over the past five years, alongside tighter licensing and wider use of Article 4 directions. The article argues that while councils are targeting poor-quality accommodation, blanket restrictions may also be reducing the supply of well-managed shared housing.
Why it matters
Surveyors involved in residential valuation, landlord advice, and HMO work need to understand how local planning and licensing policies are affecting lawful occupation and supply. Changes in HMO controls can influence asset use, compliance risk, and the viability of shared housing stock.
Key points
- Planning refusals for HMOs rose from 590 to 1,203 in the analysis cited.
- Approval rates were broadly stable at 68% from 2021 to 2023, then fell in 2024, 2025 and to 63% so far in 2026.
- Article 4 directions are being used by councils to remove permitted development rights for HMOs.
- Licensing is being tightened to address fire safety, room sizes and basic living standards.
- The article warns that restrictive policies may push demand into less visible and potentially less safe accommodation.
This is an RPSA summary of a publicly available article. The full content remains with the original publisher.
