2-bed flat rented out to 4 tenants - Additional licensing - Denied by council

Hi everyone,

I’ve rented out my 2-bed to four people in late August 2023. 24-month contract with a 12-month break clause.

I’ve applied for an additional HMO licence with Southwark council (before signing the tenancy agreement) which was denied today.

Weirdly, they are saying that two people can live in the master bedroom but nobody in the smaller bedroom. The smaller bedroom is 8.93 sqm and I just found indication that the council says that 1 person can live in a bedroom that’s at least 8sqm.

I don’t know what to do as a result:

  1. Am I supposed to ask the tenants to leave straight away?
  2. Am I supposed to ask them to leave at the break clause point?
  3. Or can they stay till the very end of the contract?
  4. Are there other options I’m not thinking about? What should I reply to the council?

Many thanks for any guidance on this.

If there is a separate lounge, you may be able to switch it with the small bedroom. Speak to the Council.