Landlords are required to register properties in multiple occupation with local authorities and apply for a licence.

According to the National Landlords Association in some areas fewer than 5% of rented properties that require a licence have been registered.

Failing to register HMO's and obtain the necessary licence became an offence under the Housing Act 2004 on the 6th July 2006.

Any landlord who has not applied for the necessary licence from the local authority could face a potential penalty of up to £20,000.