Landlord licensing in Merton: does your property need a licence?
Merton runs three overlapping licensing schemes. Whether yours is caught depends on the ward, not the postcode — and letting without a licence exposes you to a rent repayment order of up to two years' rent.
Which licence applies to your property
Selective licensing catches ordinary family lets, not just house-shares. That is the part landlords most often miss.
Selective licensing
Almost every private rental — including a single flat or house let to one household
These wards cover much of Mitcham. Size and occupancy make no difference: if the property is privately rented and sits inside a designated ward, it needs a licence.
Additional licensing
Smaller HMOs — typically three or four unrelated occupants sharing facilities
This catches house-shares that fall below the mandatory HMO threshold, which many landlords assume are exempt.
Mandatory HMO licensing
Any HMO with five or more occupants forming more than one household
This scheme is national and applies regardless of where in the borough the property sits.
Designations are set by ward boundary. Confirm your specific address and the current fee on Merton Council’s private housing pages. This page is general guidance, not legal advice.
What letting without a licence actually costs
The council fine is rarely the worst of it. Being ordered to hand back two years of rent you have already spent is.
A rent repayment order can claw back two years' rent
A tribunal can order you to repay up to 24 months of rent you have already received and spent — to the tenant, or to the council where housing benefit or universal credit was paid. Since 1 May 2026 this is the single largest exposure from letting unlicensed, and liability now reaches superior landlords and company directors personally.
Civil penalties up to £40,000
Councils can issue financial penalties per offence as an alternative to prosecution, and Merton has an active enforcement programme.
Criminal prosecution
Operating an unlicensed property that requires a licence is a criminal offence carrying an unlimited fine on conviction.
Licensing is part of management, not an extra
We have let property across Merton for over three decades, including the wards now under designation.
We check the ward, not the postcode
Licensing is designated by ward boundary, which rarely follows the postcode you would expect. A CR4 address can sit inside or outside a designated ward, so we confirm the boundary before letting the property.
We apply and hold the paperwork
For managed landlords we prepare the application, assemble the safety certificates and floor plans the council asks for, and keep the licence and its conditions on file.
We diarise the conditions
Licences carry conditions — gas and electrical certificates, smoke and carbon monoxide alarms, occupancy limits, waste arrangements. We track renewal dates so nothing lapses mid-tenancy.
We flag it before you buy
If you are considering an investment purchase in Mitcham or Colliers Wood, we will tell you what licence the property will need and what it will cost to run before you commit.
Not sure whether your property is caught?
Send us the address and we will confirm the ward, tell you which scheme applies and what the licence conditions would mean for your tenancy. No obligation.
Merton landlord licensing questions
The questions landlords in Mitcham and Colliers Wood ask us most often.
Do I need a landlord licence in Mitcham?
Very probably. Merton operates selective licensing across Figge’s Marsh, Graveney, Longthornton and Pollards Hill, which cover much of Mitcham. Selective licensing applies to almost all privately rented homes in those wards, including a single flat let to one family. Because designation follows ward boundaries rather than postcodes, the only reliable answer comes from checking your specific address against the council’s ward map.
Does licensing apply in Colliers Wood?
Colliers Wood is inside Merton’s additional licensing designation, which covers smaller houses in multiple occupation — typically three or four unrelated sharers. A standard family let in Colliers Wood is not usually caught by additional licensing, but any property with five or more occupants forming more than one household needs a mandatory HMO licence anywhere in the borough.
What happens if I let an unlicensed property?
Three things matter most. A tribunal can make a rent repayment order requiring you to pay back up to 24 months of rent you have already received. The council can issue a civil penalty of up to £40,000 per offence, or prosecute, which carries an unlimited fine. And liability now reaches superior landlords and company directors personally, so holding the property through a company is no longer a shield.
How much does a Merton landlord licence cost?
Fees differ by scheme and by the number of bedrooms, and Merton reviews them periodically, so we do not publish a figure that may be out of date. Merton Council publishes current fees and any accredited-landlord discount on its own website — always take the fee from there. We will confirm the applicable fee for your property as part of a management proposal.
How long do Merton’s licensing schemes run?
Merton’s selective and additional licensing designations began on 24 September 2023 and run for five years, to September 2028. Mandatory HMO licensing is a national requirement and is not time-limited. Schemes can be renewed, extended or redesignated, so check the council’s current position before relying on an end date.
Do you handle licensing for landlords you manage?
Yes. For managed properties we identify whether a licence is required, prepare and submit the application, hold the certificates the council requires, and diarise the licence conditions and renewal date. If you are switching to us from another agent, we audit the licensing position as part of the handover.
Scheme details reflect Merton’s designations running 24 September 2023 to September 2028. Councils vary fees and boundaries over time — always confirm against Merton Council before acting. Letting in Wandsworth instead? Additional HMO licensing there is borough-wide — see our Wandsworth landlord licensing guide. Related reading: our Mitcham area guide and Colliers Wood area guide.
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