The number of new homes in multiple occupation (HMO) licences granted by local planning authorities in Great Britain fell by 1,498 last year, according to Searchland’s latest internal data.
There were 25,445 new licences issued in 2023, compared to 23,947 in 2024, marking a 5.9% decrease.
In Oxford, there were 1,823 new HMO licences granted, an increase of 1,341 compared to the previous year.
Meanwhile, the City of Bristol approved 838 more licences than in 2023, while Lambeth issued 759 more, Hammersmith & Fulham 544 more, and Charnwood 533 more.
Lambeth became the top area for new HMO approvals, with 2,515 new licences in 2024, accounting for 10.5% of the national total.
Oxford granted 1,823, and Bristol approved 1,588. Haringey (1,158), Southwark (1,087), and Hammersmith & Fulham (1,007) also issued over 1,000 new HMO licences last year.
Hugh Gibbs, co-founder of Searchland, said: “There’s been a decline in the annual number of HMO licenses being granted by councils across Britain at a time when we arguably need more rental accommodation to ease the high demand from tenants.
“This reduction has no doubt been driven by a greater reluctance from councils due to a move towards risk-based licensing, but it’s also fair to say that tighter regulations, particularly with regard to mandatory room sizes, may have also deterred investment.
“However, not every area has seen a decline and, in fact, many regional hotspots such as Oxford Bristol and London have seen a substantial increase.”
