Landlords with HMOs (House in Multiple Occupation) in the UK face a complex situation when it comes to Article 4 areas, one expert warns.

These areas restrict the automatic conversion of residences into HMOs, and navigating the licensing and planning processes can be confusing for landlords.

Now Des Taylor from Landlord Licensing & Defence is highlighting the growing issue of councils demanding planning permission for HMOs in Article 4 areas.

Mr Taylor explains: “Council licensing departments are increasingly making these planning-related demands on behalf of their colleagues.”

While licensing and planning are separate legal areas, they can overlap in Article 4 zones and landlords are unsure if these demands are valid.

Mr Taylor points to a recent Upper Tribunal case and said: “Licensing departments can restrict a license based on planning requirements within an Article 4 area.

“Licensing departments are increasingly requesting proof of planning permission or a Certificate of Lawful Use (CLU) during the application process.

“This is essentially due diligence.

“The council wants to ensure HMOs comply with planning restrictions within Article 4 areas.”

Assures the council of compliance

While not mandatory, Mr Taylor says a CLU ‘is similar to a PAT test for appliances. It assures the council of compliance.’

However, obtaining a CLU can be difficult as councils aim to limit HMOs in Article 4 areas.

Mr Taylor adds that HMO landlords should avoid applying for CLU and use other methods that cannot be contested so easily by the council.

He says that landlords can prove established use with tenancy agreements and other supporting paperwork.

Mr Taylor adds: “If you have agreements showing consistent HMO use before Article 4, that should suffice.

“Unfortunately, some licensing departments may resist accepting alternative evidence, and appealing a rejected licence or restricted licence to the First-tier Tribunal can be costly and time-consuming.”

Refusal to license is highly detrimental

Seeking professional help is crucial if the licensing department objects because a ‘refusal to license’ on a landlord’s record is highly detrimental, Mr Taylor warns.

It must be declared on future applications and can negatively impact mortgages, insurance and even a landlord’s ‘fit and proper’ status.

Legal representation strengthens a landlord’s case and demonstrates their understanding of the process.

Mr Taylor is highlighting the key takeaways for HMO landlords in Article 4 areas:

• Gather evidence of pre-Article 4 HMO use (agreements, receipts)
• Seek professional guidance for navigating complexities
• Invest in upfront advice to avoid costly appeals
• Maintain meticulous records for future reference.

Mr Taylor said: “By understanding these procedures and seeking professional guidance when needed, landlords can ensure a smoother licensing process for their HMOs.”