Houses in Multiple Occupation Debate
Full Debate: Read Full DebateGagan Mohindra
Main Page: Gagan Mohindra (Conservative - South West Hertfordshire)Department Debates - View all Gagan Mohindra's debates with the Ministry of Housing, Communities and Local Government
(1 day, 11 hours ago)
Commons ChamberI am speaking about this subject tonight because over the past six years, I have been contacted by hundreds of families in Ashfield who have raised serious concerns about the impact that houses in multiple occupation are having on my community. Anyone can set up an HMO overnight, with no qualifications, no training and no checks. All they need is a few thousand pounds in the bank and a mortgage. They can buy a cheap terraced house somewhere in the midlands, in the north, or in a place like Ashfield, and turn it into an HMO. This leads to thousands of unscrupulous investors living thousands away from places like Ashfield buying up properties there and filling them with people who, quite frankly, I do not want living in my community—people who are criminals, people who are thieving of a night, people who are creating antisocial behaviour. They are filling our streets full of wrong’uns. Then the local politicians, the police and the councillors sit there scratching their head, asking themselves why crime is on the up in the area.
Does the hon. Gentleman agree that local authorities like the Liberal Democrat-controlled Three Rivers district council in my constituency should be issuing, for instance, article 4 directions to protect our areas from a proliferation of HMOs?
I do agree with the use of article 4 to put HMOs through the planning process. I have forced my local council to do that, but unfortunately it is doing it only in certain areas. I would like to see it being done throughout the constituency.
I congratulate the hon. Member for Ashfield (Lee Anderson) on securing this important debate. I also thank those other hon. Members who have made contributions.
I appreciate fully the concerns that the hon. Member for Ashfield raises about houses in multiple occupation. HMOs can play an important role in the housing market, providing relatively low-cost accommodation for rent. However, it is right that local planning authorities can act, where appropriate, to minimise any negative impacts that such houses may have on local communities.
The hon. Gentleman made a number of points concerning the interaction between HMOs and the planning system. Larger HMOs always require an application to the local planning authority for planning permission. However, national permitted development rights allow for existing homes to change use to a small HMO for up to six people without the need for a planning application. Such smaller HMOs are also able to change back to a standard family home under similar rights.
We do recognise that the free operation of the national permitted development rights is not always suitable for all areas. That is why, where there is sufficient evidence of the need to protect local amenity or the wellbeing of an area, local planning authorities can remove permitted development rights in a specific area by means of introducing an article 4 direction, following consultation with the affected local community.
I am well-versed with the Minister through our work on the Housing, Communities and Local Government Committee. Will he consider looking at reducing the threshold from six individuals to four? I am finding in Three Rivers that several of the homes are probably inappropriate for six distinct individuals but may be appropriate for four. Unless the evidence threshold is there for an article 4 direction, I have communities that will be impacted significantly, unless we are able to change something here.
I recognise the hon. Gentleman’s point. I will come on to say how we are keeping regulation under review, but I note the point he makes.
Once an article 4 direction is in place, any change of use to either a large or small HMO requires an application for planning permission. All such applications are considered by the relevant local planning authority, in line with the development plan for the area and in consultation with the local community. A clear and up-to-date local plan policy for HMOs can support assessment of future applications. I know the struggle of the hon. Member for South West Hertfordshire (Mr Mohindra) with his local authority to get an up-to-date local plan in place.
Whether any given local planning authority chooses to consult on introducing an article 4 direction to remove the national permitted development rights that I have referenced is ultimately a decision for it to take. It is not something that the Government seek to influence in any part of the country. We do not believe that the process is costly or burdensome, and approximately 75 councils have put in place article 4 directions for HMOs in parts of their authority area—although I note that Ashfield district council has no article 4 directions in place for small HMOs. The hon. Member for Ashfield may wish to take that up with his local authority.
In addition, the Government recently consulted on a new national planning policy framework. That consultation includes proposals relating to article 4 direction policy, proposing a more flexible approach so that local planning authorities can remove national permitted development rights where it is necessary to protect the amenity or wellbeing of an area—for instance, where there is an over-concentration of small HMOs. We are currently analysing the feedback received and will publish our response in due course.
Turning to HMO licensing, it is, of course, crucial that HMOs are safe and well managed. That is why all HMOs are subject to management regulations. Those regulations place duties on managers of HMOs—typically, the landlords—to take safety measures, supply and maintain gas and electricity, and maintain common parts, fixtures and fittings.
In addition, all local planning authorities must license HMOs with five or more people from two or more households who share facilities, such as a kitchen or bathroom. Local planning authorities also have the power to require HMOs to be licensed where three or more people from two or more households are sharing facilities. This means that most HMOs can be licensed where necessary.
Local planning authorities can also impose licence conditions to ensure that landlords effectively manage HMOs. For example, a local authority may require a landlord to put in place measures to prevent or reduce antisocial behaviour by occupants or visitors. Local planning authorities have robust powers to tackle landlords who breach HMO regulations, including the ability to issue civil penalties of up to £40,000 for offences committed from 1 May, rent repayment orders and, for the worst offenders, banning orders.
The Government want to ensure that councils have the capacity to take action where needed. That is why we have provided £18.2 million in 2025-26, and £41.1 million in 2026-27, to support the new enforcement responsibilities that local authorities are taking on under the Renters’ Rights Act 2025. We plan to establish a sustainable funding system for enforcement in the private rented sector over the long term, based on future database fee revenues.
It is obviously not the responsibility of my Department, but the hon. Member for Ashfield raised the issue of asylum accommodation, so let me briefly set out the Government’s position. Under the previous Conservative Government, asylum decision making ground to a halt and hotel use spiralled to around 400 sites, costing £9 million a day at its peak. This Labour Government are determined to end the use of hotels for asylum seekers as quickly as possible in this Parliament, but we intend to do so in an orderly fashion.