HMO Plans Blocked in Bolton: New Policy to Limit Conversions 2026

Key Points

• Bolton Council has rejected 38 out of 63 applications for HMO conversion following the imposition of Article 4 directions since June 13, 2025, with an average refusal rate of 65 per cent.
• The average refusal rate for all planning applications in the country is about 13 per cent, hence the refusal rate of HMO conversions in Bolton being relatively high.
• A new HMO policy is being drawn as part of the developing Local Plan of Bolton to impose ward-specific and percentage restrictions on HMO concentrations.
• Under the proposed guidelines, applications can be rejected if they may lead to both sides of a particular property being HMOs.
• The councillors have also been worried that limiting HMOs in areas of concentration might result in developments in areas with low concentration.
• Article 4 directions mean that all the HMO conversions must seek planning permission because permitted development rights are now restricted to properties accommodating six persons.

Bolton (Manchester Mirror) August 31, 2026 – Almost two-thirds of applications to convert properties into houses in multiple occupation (HMOs) have been refused in uk/local/bolton/">Bolton as the council prepares to implement even tougher controls on such developments. Bolton Council has received 63 HMO applications since an Article 4 direction was introduced on June 13, 2025, with 38 refused, 22 approved and three withdrawn. Councillors were told at a meeting that the refusal rate for HMOs was around 65 per cent. That compares with a national refusal rate of around 13 per cent across all types of planning application, according to figures cited at the meeting.

Jayne King, Bolton Council’s Assistant Director for Human Resources and Organisational Development, said: “I think that is quite an important figure. The majority of HMOs are being refused by officers and members, a lot of people don’t think we are refusing that many. When we look at the general refusal rate, 65 per cent of all HMOs have been refused. The national trend for all application types is 13 per cent. So 65 per cent is important to recognise. We are challenging ourselves and decision-making”.

Why are so many HMO plans being rejected in Bolton?

The Article 4 direction means conversions to HMOs covered by the direction require planning permission, giving the council greater control over where they are allowed. However, the direction is not a blanket ban and applications must still be considered against national and local planning policies. The council is now preparing a new HMO policy as part of its emerging Local Plan, which could further change how applications are assessed.

Councillors were told it has identified a list of wards where further HMOs would not be allowed because of existing concentrations, as well as introducing percentage limits. Proposals could also be refused where allowing another HMO would result in a property having an HMO on either side. The approach is based on evidence gathered ahead of the Article 4 direction, which the council says has allowed it to identify the areas with the highest concentrations of HMOs.

Ms King said: “There is a new policy being drafted which will bring our policy completely up to date. It gives members some comfort that the policy change is coming and will be included in the new plan”. The council’s presentation says the new policy will give greater weight to the proliferation of HMOs and their impact on the character of neighbourhoods, issues which are not given the same weight under existing local policy.

What new restrictions are being proposed for HMOs?

The council is developing a comprehensive new HMO policy that will form part of Bolton’s new Local Plan, currently in development. The proposed measures include identifying specific wards where further HMOs would not be permitted due to existing high concentrations. The policy will also introduce percentage limits on HMO concentrations within designated areas.

Under the proposed rules, planning applications could be refused where allowing another HMO would result in a property having an HMO on either side, creating a buffer effect to prevent clustering. The approach is based on evidence gathered ahead of the Article 4 direction, which enabled the council to map areas with the highest concentrations of HMOs.

The council’s presentation indicates the new policy will give greater weight to the proliferation of HMOs and their impact on the character of neighbourhoods, issues which are not given the same weight under existing local policy. This represents a significant shift in how applications will be assessed, moving beyond traditional amenity concerns to consider broader neighbourhood character impacts.

What concerns have councillors raised about the new policy?

Despite support for tighter controls, councillors have expressed concerns about potential unintended consequences of the new approach. Cllr Hewitt said: “We need to make sure that by putting limits on HMOs in areas where there is already a high concentration, we don’t simply push them into areas where there is currently a lower density. We can’t allow that to become a back door for further proliferation”.

The warning highlights a key challenge in HMO policy: restricting development in high-concentration areas could displace pressure to neighbourhoods currently experiencing lower HMO density. This could potentially spread the issues the council is trying to address rather than resolving them.

Councillors emphasised the need for careful implementation to ensure the policy achieves its intended objectives without creating new problems in other parts of the borough. The final details of the new approach will form part of Bolton’s new Local Plan, which is currently being developed.

How does Bolton’s approach compare to national trends?

Bolton’s 65 per cent HMO refusal rate stands in stark contrast to the national average of 13 per cent for all planning application types. This significant disparity reflects the council’s deliberate strategy to exert greater control over HMO development through the Article 4 direction.

The Article 4 direction, introduced on June 13, 2025, removed permitted development rights that previously allowed conversion of family homes (Class C3) into HMOs for up to six residents (Class C4) without planning permission. Under the new rules, all HMO conversions, regardless of size, now require planning approval.

Anyone undertaking an HMO conversion without consent could now be ordered to carry out restorative work at their own cost. This enforcement power provides the council with additional leverage to ensure compliance with the new regulations.

Background of HMO Development Controls in Bolton

The current situation follows a series of policy developments aimed at managing HMO growth in Bolton. In June 2025, Bolton Council’s Cabinet approved an Article 4 Direction, restricting the development of HMOs with immediate effect. A HMO is defined as a property rented by three or more tenants using shared communal areas such as kitchens, bathrooms and toilets.

Previously, anyone could convert an existing home into an HMO for up to six tenants without first needing planning consent. The Article 4 Direction changed this by requiring all HMOs, regardless of size, to have planning approval. The council had been considering the measure for two years before implementation.

The immediate implementation without the usual prior notice period drew criticism from some quarters. As reported by Property118, a legal expert accused the council of “abuse of power” over its failure to give prior warning before introducing the new rules. However, the council maintained that the measure was necessary to address concerns about HMO proliferation.

The council consulted on the policy, asking landlords to register their views before a closing date of July 25, 2025, even though the rule had already taken effect. The evidence base for the direction included analysis of HMO concentrations across the borough, which informed the identification of areas requiring protection from further proliferation.

Prediction: How Will Stricter HMO Rules Affect Landlords and Investors?

The tightening of HMO regulations in Bolton is likely to have significant implications for landlords, property investors, and the local rental market. With a 65 per cent refusal rate already in place and even stricter rules on the horizon, the landscape for HMO investment in Bolton is becoming increasingly challenging.

Landlords considering HMO conversions in Bolton will need to conduct more thorough due diligence before proceeding with applications. The identification of specific wards where further HMOs will not be allowed means that location selection will become even more critical. Properties in areas already approaching concentration limits may become unsuitable for HMO conversion, potentially reducing their investment value for this purpose.

The requirement for planning permission for all HMO conversions, regardless of size, adds time and cost to the development process. Applications that would previously have proceeded under permitted development rights now face the uncertainty of the planning process, with a significant risk of refusal. This may deter some investors from pursuing HMO projects in Bolton altogether.

The policy could also affect rental supply in the borough. HMOs typically provide more affordable rental accommodation than self-contained properties, particularly for students, young professionals, and lower-income households. Restricting HMO development could reduce the availability of this type of accommodation, potentially driving up rents in the remaining HMO stock or pushing tenants towards other housing options.

For existing HMO landlords, the new rules may provide some protection against oversaturation in their areas, potentially preserving property values and rental demand. However, those looking to expand their portfolios through conversions will face greater hurdles. The enforcement powers allowing the council to order restorative work for unauthorised conversions add significant risk to proceeding without approval.

The warning from councillors about displacement effects suggests the council is aware of the need for borough-wide coordination. If successful, the policy could achieve a more balanced distribution of HMOs across Bolton. However, if displacement occurs as predicted, it could simply shift concentration problems to new areas, requiring ongoing policy adjustment.

The final details of the Local Plan will be crucial in determining the long-term impact. Investors and landlords should monitor the development of the plan closely and engage with the consultation process to understand how the rules will affect their specific circumstances. Those with properties in areas identified for HMO restrictions may need to consider alternative investment strategies or property uses.