Peterborough Section 257 HMO: Licensing for Converted Flats
What Is a Section 257 HMO?
Most landlords think of HMOs as shared houses where tenants have their own bedrooms and share a kitchen and bathroom. Section 257 of the Housing Act 2004 catches a different type of property entirely — converted blocks of self-contained flats.
A building qualifies as a Section 257 HMO when it meets two conditions. First, the building was converted into self-contained flats, and the conversion work does not comply with the Building Regulations 1991 (or the regulations in force at the time of the conversion). Second, fewer than two-thirds of the flats are owner-occupied — meaning more than one-third are let on short tenancies.
In practical terms, this catches older Victorian and Edwardian terraced houses that were split into flats decades ago without proper building regulation sign-off. Peterborough has a significant stock of these properties, particularly in the Central, East, and Fletton wards.
The Peterborough Additional Licensing Scheme Covers Section 257
Peterborough City Council's Additional HMO Licensing scheme, which came into force on 26 January 2026 and runs until 25 January 2031, explicitly includes Section 257 HMOs. This is a city-wide scheme — every converted block meeting the Section 257 definition within the council boundary needs a licence, regardless of ward.
The total fee is £1,100, split into Part A (£588 at application) and Part B (£512 when the draft licence is issued). The licence runs until the scheme's fixed expiry date of 25 January 2031.
Who Holds the Licence?
This is where Section 257 differs sharply from standard HMO licensing. The Additional Section 257 HMO licence is held by the freeholder, not the individual flat owners or managing agents of separate units.
If you own the freehold of a converted block and fewer than two-thirds of the flats are owner-occupied, you are the person responsible for applying. An overseas freeholder cannot hold the licence directly — Peterborough requires the licence holder to be a UK resident. In that case, a UK-resident managing agent must be appointed as the named licence holder.
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Documents You'll Need
The application goes through the Home Safe portal, following the same workflow as other Additional HMO Licence applications. You will need:
- Proof of freehold ownership (Land Registry title register or transfer deed)
- A valid EICR with a satisfactory rating
- A current gas safety certificate if gas is present
- Valid EPCs rated E or above, unless a valid PRS exemption is registered
- A floor plan showing all flat layouts and communal areas, with room dimensions
- A fire risk assessment covering communal hallways, stairs, and escape routes
- Fire alarm and emergency lighting certificates if systems are installed
The Yoti biometric identity verification applies to the applicant, just as it does for any other licence type.
Common Problems for Section 257 Buildings
The biggest practical issue is establishing whether the original conversion complied with the Building Regulations in force at the time. For conversions done in the 1970s or 1980s, local authority building control records may be incomplete or lost. The Section 257 test is whether the conversion complied with the regulations that applied at the time.
Another frequent stumbling block is the ownership structure. In blocks where flats have been sold off on long leases, the freeholder may not realise they still carry legal responsibility for the building's HMO status. The council looks at the whole building, not individual flats.
What Happens If You Don't Apply?
Operating a Section 257 HMO without a licence carries the same penalties as any other unlicensed property in Peterborough — civil penalties of up to £40,000 per offence, and tenants or the council can apply for a Rent Repayment Order covering up to 24 months of rent.
Our Peterborough Landlord Licensing Guide covers the full application process for all three licensing schemes, including the Section 257 route, the Home Safe portal steps, and the document checklist — everything you need to get the application right the first time.
Frequently Asked Questions
My block has self-contained flats with their own kitchens and bathrooms — can it still be an HMO?
Yes. Under Section 257 of the Housing Act 2004, a converted block of self-contained flats counts as an HMO if the conversion doesn't meet the Building Regulations 1991 standard and more than a third of the flats are rented out on short tenancies.
I own a flat in a converted block — do I need to apply for the licence?
No. The Section 257 licence is the freeholder's responsibility, not individual flat owners'. If you are a leaseholder, the freeholder must apply.
Does the Section 257 licence cover the whole building or individual flats?
It covers the whole building as a single licence. The freeholder applies once for the entire converted block.
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