Decision Maker:

Outcome: Recommendations Approved

Is Key Decision?: No

Is Callable In?: No

Date of Decision: July 23, 2025

Purpose:

Content:   This Council:   1.    This Council notes the high cost of renting and homeownership has forced a demand for families, singles and young people into low-cost single room living options known as Houses in Multiple Occupation (HMO).   2.    This Council notes that this has in turn led to the loss of family homes in the Royal Borough of Greenwich due to the increasing trend of homes being converted to HMOs.   3.    The Labour Government has hit the ground running with a Renters’ Rights Bill, committed to building 1.5 million homes through its Plan for Change and investing £39 billion in social and affordable housing.   4.    This Council has acted with the introduction of an Article 4 Direction, which requires homeowners to seek planning permission before converting a family home into an HMO. In addition to our mandatory HMO licensing scheme, the Council has also introduced an Additional HMO Licensing Scheme to ensure smaller HMOs, where at least 3 people live, are covered and protected. This goes above and beyond what is required by statue, providing additional safeguards for our residents.   5.    Since then, we have refused several planning applications for HMOs in the borough and issued fines totalling £1,083,500 to HMO landlords that have not licensed their properties.   6.    However, this Council recognises the pressure on communities who are experiencing the impact of living with a growing number of HMOs in their area, it also notes that not all HMOs are managed to a high standard, and this impacts on the community and its environment.   7.    Where HMOs exist, they must be properly licensed. As of the 23rd July 2025 there were 811 licensed HMOs in the borough, (421 properties with a mandatory HMO license and 390 with an additional HMO licensed). The expansion of our HMO compliance work with landlords has resulted in 564 new HMO license applications.   8.    Planning applications for HMO conversions have been increasing in recent years and months. Council notes that the forthcoming consultation on a new Local Plan for the Royal Borough of Greenwich due to be published in October presents an opportunity to strengthen protections against the spread of HMOs and minimise the further loss of family homes for which there is a high level of need locally.   9.    Council requests that the Executive, in developing the Draft Local Plan, to:   ·        Take every available opportunity to strengthen protections on HMOs and minimise the further loss of family homes in the future (including, as part of preparation and evidence gathering, considering the experiences and policies of other London boroughs/local authorities).   ·        Start the consultations on a new Local Plan this year to further regulate HMOs   ·        Introduce an oversaturation planning policy to prevent new HMOs in highly concentrated areas in the borough   ·        Ensures that there will be early and specific engagement with local residents and ward councillors in areas that have high (or increasing) levels of HMOs in recent years This will support wider efforts to ensure maximum public participation in the Draft Local Plan consultation   ·        Work with the Government to deliver a range of homes to suit our communities’ needs, which will provide social and affordable homes from purpose-built student housing through to young professionals, growing families, and extra care and supported living for those with additional support needs   ·        Welcomes the fact that every HMO in the borough requires a license and this helps drive up the standards in the private rental sector   ·        Scale up the promotion and enforcement of both our Mandatory and Additional HMO licensing schemes to maximise coverage and compliance across the borough.