LetLens / Licensing by council / City of London
Landlord licensing in City of London
Mandatory HMO licensing applies across England, so a property in City of London let to five or more people forming two or more households, who share a kitchen, bathroom or toilet, needs a licence. City of London runs no additional or selective licensing scheme of its own, so smaller shared houses and ordinary rentals do not need a council licence here.
The licence you need turns on who lives in the property. Find the line that describes your let.
- Required by national lawThe same in all 296 English councils. Not a City of London decision.
Your propertyLet to 5 or more people forming 2 or more households who share a kitchen, bathroom or toilet
You needMandatory HMO licence In force England-wide
It costs£1,050 for a 5-bedroom HMOband 1-5 units
WhereEverywhere in City of London, as everywhere in England. Scope, fee schedule and source
- What City of London requires on topSchemes this council chose to run, and what differs from the council next door.
Your propertyA smaller shared house the national scheme does not reach, typically 3 or 4 sharers forming 2 or more households
You needNo additional HMO licence No scheme
Your propertyLet privately inside a designated area, whether or not it is an HMO
You needNo selective licence No scheme
- Planning permission, a separate questionNot licensing. Whether you may create an HMO at all, decided by the council’s planning side.
Your planConverting a house (use class C3) into a small HMO (use class C4)
You needPlanning permission None in force
WhereNo direction here, so this is normally permitted development. The direction, its dates and its boundary
Each fee is for the example property named on its own line, from the council’s published schedule. Other sizes are priced separately; the full schedules, discounts and surcharges are below.
Or open EC2V 8AG, a postcode near the centre of City of London, to see what a full report looks like.
Each scheme in detail, and the evidence behind it
Which properties each scheme catches in City of London, in the council’s own words, with the designations in force, the whole published fee schedule and the source for every figure. The three regimes can stack: a property can need a licence under one and still be caught by another.
Mandatory HMO licensing In force England-wide
Fee, 5-bed HMO£1,050band 1-5 units
- Where it applies
- National scheme
- Which properties
- House or flat shared by 5 or more people forming 2 or more households (mandatory HMO licensing, Part 2 Housing Act 2004; Licensing of Houses in Multiple Occupation (Prescribed Descriptions) (England) Order 2006)
The published fee schedule
| Size | Fee | Part 1 + part 2 |
|---|---|---|
| 1 to 5 | £1,050 | £600 + £450 |
| 6 to 9 | £1,200 | £600 + £600 |
| 10 to 14 | £1,350 | £600 + £750 |
| 15 to 19 | £1,500 | £600 + £900 |
| 20 or more | £1,650 | £600 + £1,050 |
Additional HMO licensing No scheme
Selective licensing No scheme
Article 4 and HMO planning permission in City of London None in force
No HMO Article 4 direction is in force in City of London, so converting a house into a small HMO occupied by no more than six residents (use class C4) is normally permitted development and does not need planning permission on those grounds. An HMO for seven or more residents falls outside class C4 and needs permission anyway.
The research note behind this verdict
What happens if you let without a licence
Letting or managing an unlicensed property that needs a licence is a criminal offence, under section 72 of the Housing Act 2004 for an HMO and section 95 for a property caught by selective licensing. A council can prosecute, or impose a civil penalty instead. For conduct on or after 1 May 2026 that penalty can be up to £40,000 per offence, raised from £30,000 by the Financial Penalties (Housing Offences and Breach of Banning Orders) Regulations 2026. Tenants and the council can also apply for a rent repayment order, which for conduct from the same date can claw back up to two years of rent, up from one, under section 103 of the Renters' Rights Act 2025.
Both of those maxima apply only to conduct on or after 1 May 2026. Earlier conduct is still judged against the old £30,000 and twelve-month limits. Each breach is normally penalised separately, so an unlicensed portfolio in City of London multiplies the exposure rather than capping it.
The letting market in City of London
We do not hold enough live rental listings in City of London to publish a median rent, and we would rather leave it out than pass a national average off as a local figure. The area context we do hold is below, and searching a postcode still returns the licensing, planning and sold-price evidence.
- Typical household income£64,385Mean of net small-area median incomes around the council's main listing areas, not a council-wide median.
- Postcodes with flood exposure5.1%80 of 1,573 indexed postcodes.
- Postcodes in Flood Zone 369 (4.4%)The Environment Agency's highest-probability zone. Lenders and insurers ask about this one by name, and it is a subset of the exposure above.
Postcode districts in City of London
Licensing, Article 4 and the fee all turn on the exact address, because a designated area rarely follows the council boundary. LetLens holds 1,573 City of London postcodes. Open one of its postcode districts to see the verdict, the local rent evidence and the investment model.
Common questions
Do I need an HMO licence in City of London?
Mandatory HMO licensing applies across England, so a property in City of London let to five or more people forming two or more households, who share a kitchen, bathroom or toilet, needs a licence. City of London runs no additional or selective licensing scheme of its own, so smaller shared houses and ordinary rentals do not need a council licence here.
How much does an HMO licence cost in City of London?
£1,050 for a five-bedroom, five-person HMO under the mandatory scheme, from the council's published fee schedule. Fee basis: band 1-5 units. Larger or smaller properties, and any additional or selective scheme, are priced separately.
Is there an Article 4 direction in City of London?
No HMO Article 4 direction is in force in City of London, so converting a house into a small HMO occupied by no more than six residents (use class C4) is normally permitted development and does not need planning permission on those grounds. An HMO for seven or more residents falls outside class C4 and needs permission anyway.
What is the penalty for letting an unlicensed property in City of London?
Letting or managing a property that needs a licence without one is a criminal offence under the Housing Act 2004. The council can prosecute or impose a civil penalty, which for conduct on or after 1 May 2026 can be up to £40,000 per offence, raised from £30,000 by the Financial Penalties (Housing Offences and Breach of Banning Orders) Regulations 2026. Tenants or the council can also seek a rent repayment order covering up to two years of rent for conduct from that date, up from one year, under section 103 of the Renters' Rights Act 2025. Each breach is normally penalised separately. Indicative only, not legal advice.
About City of London
City of London is a local housing authority in London, with a population of about 11,000 and 1,573 live postcodes indexed by LetLens. It is the licensing authority for every private rented property inside its boundary, and the local planning authority that decides whether an Article 4 direction applies.
Nearby councils
Licensing stops at the council boundary, so a street on the other side of it can carry a different scheme and a different fee.
Contact City of London
City of London licensing team · [email protected] · 020 7606 3590