Harrow Council tightens rules on shared housing conversions
New Article 4 direction requires planning permission for family homes turned into small Houses in Multiple Occupation.
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Harrow Council has introduced a borough-wide Article 4 direction, requiring planning permission for any family home converted into a small House in Multiple Occupation (HMO). This new measure means that conversions for three to six unrelated occupiers, which previously did not need full planning consent, must now undergo the complete planning application process. This allows the council to assess proposals against local policies concerning housing mix, neighbourhood character, and the concentration of HMOs within specific areas.
National Trends in HMO Applications
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The move by Harrow Council follows a national trend of increasing HMO planning applications and refusals. Analysis of 144 English councils revealed an 87% rise in HMO planning applications between 2021 and 2025, increasing from 1,848 to 3,454. Over the same period, the number of refusals more than doubled, growing from 590 to 1,203. While approval rates remained around 68% from 2021 to 2023, they saw a decrease to 63% in early 2026, indicating a tightening of planning decisions.
Property expert Paul Endacott, from 1st Avenue, commented on the potential consequences of such restrictions. He stated that when regulated HMOs face refusal or licensing issues, the demand for affordable shared housing does not disappear but rather shifts to less visible and potentially less safe arrangements. This can lead some operators to move into smaller properties or informal setups that fall outside standard council inspection regimes, potentially compromising tenant safety.
Affordability and Future Legislation
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In London, HMOs are frequently the only affordable accommodation option for students, young professionals, and lower-paid workers. The upcoming Renters' Rights Act, which aims to abolish fixed-term tenancies and Section 21 'no-fault' evictions, may also make HMOs more appealing to landlords compared to single-occupancy lets. This legislative change could further influence the demand for and supply of shared housing.
Mr Endacott acknowledged that councils are justified in addressing poor-quality or overcrowded HMOs. However, he cautioned that broad restrictions, such as Article 4 directions covering entire boroughs, risk excluding well-managed shared housing alongside problematic ones. This could ultimately leave tenants with fewer safe and legal housing choices.
Licensing and Enforcement
Operating an unlicensed HMO is a criminal offence, carrying potential fines up to £30,000, rent repayment orders, and inclusion on rogue landlord databases. While licensing aims to ensure fire safety, room sizes, and basic living standards, landlords who shift to uninspected or unlicensed properties leave tenants without these protections. Some councils have extended licensing to smaller HMOs, but the Article 4 direction in Harrow focuses on the planning permission aspect for conversions.
Questions this report answers
+What is an Article 4 direction in Harrow?
Harrow Council's Article 4 direction means that converting a family home into a small House in Multiple Occupation (HMO) for three to six unrelated people now requires a full planning application. Previously, this type of conversion could be done without specific planning permission.
+Why is Harrow Council introducing these new rules?
The council has introduced these measures to allow for assessment of HMO proposals against policies concerning housing mix, neighbourhood character, and the concentration of HMOs in specific areas. This is part of a broader effort to manage the impact of shared housing on local neighbourhoods.
+What are the national trends for HMO planning applications?
Nationally, HMO planning applications increased by 87% between 2021 and 2025. In the same period, the number of refusals more than doubled. This indicates a growing number of applications and a more stringent approach to approving them across England.
+What are the potential consequences for renters?
Experts warn that tighter restrictions on legal HMOs could push renters into less visible and potentially unsafe accommodation. When regulated options become harder to access, demand may shift to informal arrangements that fall outside council inspection and licensing regimes, leaving tenants without essential safety protections.
WE FILE
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