Guide
How much is an HMO licence? What the council fee costs
Updated
There is no national fee. Each council sets its own, which is why quoted prices for the same licence vary by hundreds of pounds between neighbouring boroughs.
Question 1
What do you want to find out?
A tenant, a neighbour and a buyer are checking whether a property already has a licence: the council's public register answers that. A landlord or agent is asking whether a property needs one.
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We will send you these figures and a link back to them. One email, nothing else unless you tick the box.
How HMO licence fees work
- Set by each council, fees must reflect the council's processing and enforcement costs, so they differ widely across England. Check the exact figure on your council's HMO licensing pages via gov.uk/find-local-council.
- Per property, for up to 5 years, a licence lasts a maximum of 5 years (gov.uk), then must be renewed at the going rate.
- Often split in two stages, following case law on licensing fees, many councils charge an application fee up front and a second 'grant' payment when the licence issues.
- Sometimes priced per room or by size, larger HMOs often pay more, and some councils discount accredited landlords.
How much does an HMO licence cost? The published fees
Of the 43 council fee pages we read on 12 October 2026, 12 published a fee for a standard HMO licence. The median is £1,227, the middle half runs from £910 to £1,497, and the range is £708 to £1,886.
Manchester lists £1,321 for 5 occupants (£865 at application and £456 at grant) and Liverpool £1,328. The other 31 councils publish no usable figure, recorded as not published rather than estimated. Every figure, its council page and the date read are in the HMO licence fee index.
The costs beyond the fee
- Compliance works, licence conditions and HMO standards commonly require interlinked fire detection, fire doors, and minimum room sizes (a mandatory condition since 2018: sleeping rooms for one adult must be at least 6.51 m²). Works usually cost more than the licence.
- Safety certificates, annual gas safety certificate, electrical installation condition report (EICR) at least every 5 years, and fire-alarm servicing.
- Renewal, budget the fee again every licence term.
Is the fee tax deductible?
Licence fees are generally treated as a revenue expense of the rental business, deductible against rental profits. Confirm your own position with an accountant, especially where a first licence coincides with capital works.
The expensive mistake is not the fee, it is letting an unlicensed licensable HMO. That risks a civil penalty of up to £40,000, an unlimited fine on prosecution, and repaying up to two years' rent. Check whether you need a licence with the checker.