Lambeth Licence DIY vs Letting Agent: Which Route Saves You More?
Lambeth's selective licence costs £1,025 in council fees alone. On top of that, local letting agencies charge £250 to £500 plus VAT for a managed licensing service — meaning the total bill can reach £1,625 before you have even paid for the gas certificate. For a self-managing landlord with one or two properties, that agency fee is worth scrutinising.
What a Managed Licensing Service Does
A letting agency offering a managed service typically handles the administrative side of the application: creating the Metastreet portal account, filling in the property details, uploading your documents, selecting the correct scheme, and making the Part A fee payment on your behalf.
Some agencies also help you gather the required certificates (EICR, gas safety, EPC), commission the floor plan, and chase the council during processing delays. Others assume you arrive with documents in hand and they simply submit them.
The service does not change the council fees or the processing time. It does not guarantee approval. The statutory responsibility for accurate declarations remains with the proposed licence holder — you.
What the DIY Route Involves
Applying directly through the Metastreet portal is not technically difficult. The steps are:
- Create an account on hmolicensing.lambeth.gov.uk.
- Enter the property address and select the correct scheme (selective, additional HMO, or mandatory HMO).
- Fill in the licence holder and managing agent details.
- Complete the fit and proper person declarations.
- Upload your documents: EICR, gas safety certificate, EPC, annotated floor plan, tenancy agreement, and fire safety evidence.
- Declare that you have notified all interested parties (mortgage lender, freeholder, joint owners).
- Pay the Part A fee.
The portal is functional but not particularly intuitive. Most landlords report the process takes two to three hours for a first application, less for subsequent ones once you know the layout.
Cost Comparison
| Route | Council Fees | Agent Fee | Total |
|---|---|---|---|
| DIY selective licence | £1,025 | £0 | £1,025 |
| Agency managed selective licence | £1,025 | £250–£500 + VAT | £1,325–£1,625 |
| DIY additional HMO (4-bed) | £2,200 | £0 | £2,200 |
| Agency managed additional HMO (4-bed) | £2,200 | £300–£500 + VAT | £2,560–£2,800 |
For a single selective licence, the agency fee adds 24% to 59% on top of the council cost. For landlords with multiple properties, some agencies offer batch discounts — but the council's own multi-unit block discount (£100 off Part A for the second flat onwards, selective only) is available regardless of whether you apply directly or through an agent.
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When an Agent Makes Sense
An agency route is worth considering if you live overseas and need a UK-based managing agent anyway (Lambeth requires non-UK residents to nominate a UK contact on the licence), if you own a portfolio of HMOs and the per-property agency cost drops with volume, or if the documents and declarations genuinely feel beyond what you want to tackle.
For a self-managing landlord with one flat in a Phase 2 ward, the maths usually favours doing it yourself. The application is a one-off process — not something you repeat every month — and the savings cover several months of rental income.
The Lambeth Landlord Licensing Guide gives you the step-by-step portal walkthrough, pre-submission document checklist, and fee calculator that makes the DIY route straightforward.
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