Reading proposes wider Article 4 area to curb small HMO conversions in five wards

Reading Borough Council has proposed a new Article 4 direction that would require planning permission to convert houses into small houses in multiple occupation (HMOs) across a wider area of five wards.

The proposal goes before the council's Strategic Environment, Planning and Transport Committee on Thursday 12 November. It would cover a wider area of Park, Redlands and Katesgrove wards, together with parts of Church and Thames wards, the council said.

If agreed after public consultation, owners and landlords in the new direction area who want to convert a house into a small HMO of three to six unrelated people would need to apply for planning permission. Larger HMOs already need permission from the council.

Micky Leng, Reading Borough Council's Lead Councillor for Planning, said: "There continues to be huge demand for private rental properties in Reading, and it follows that the number of HMOs we see being created is increasing."

The proposal

The committee report seeks approval to make a non-immediate Article 4 direction removing permitted development rights, according to the meeting agenda. The papers include the proposed direction, an evidence document and an Equality Impact Assessment as appendices.

The council said the direction would not come into force until at least 12 months after it is made, to avoid claims for compensation from landlords.

The council said residents had raised increasing concerns about HMOs being created outside the existing direction area. Work including a residents' survey had identified additional areas for possible inclusion, it said.

According to the council, demand for HMO rental properties in Reading is high and continues to rise because the town is an employment hub in the south-east with a large student population. It cites pressure on limited car parking, multiple bins in storage areas and loss of privacy and amenity space as issues where HMOs are prevalent.

Leng said that without the change "under permitted development rights owners would automatically be able to proceed with a conversion without any overview from the Council's planning function".

Existing controls

The council introduced its first HMO Article 4 direction in 2012, covering much of Park, Redlands and Katesgrove wards, which removed the automatic right to convert a house into a small HMO without planning permission. A separate direction made in January 2016 covers all properties in Jesse Terrace in Abbey ward, according to the council's Article 4 web page.

The council defines a small HMO as usually containing between three and six unrelated occupants who share basic amenities. Conversion to a large HMO requires planning permission across the whole borough. The council says an Article 4 direction does not prevent development taking place; it means planning permission is needed for the specified development.

The council's HMO planning policy includes a 25% limit on the proportion of HMOs within 50m of an application property. In December 2022 it consulted for eight weeks on changes to that policy, including clarifying that the 25% threshold applies to the total number of residential buildings, and in March 2023 officers recommended adoption of an updated Supplementary Planning Document.

Landlords also face licensing control. A borough-wide additional licensing scheme came into effect on 1 March 2026, requiring landlords of three- and four-person HMOs not already covered by mandatory licensing to apply for a licence. Before that, only HMOs with five or more occupants needed a licence under the national mandatory scheme, the council said. It also plans selective licensing for all rented properties in Battle ward within the next two years.

What happens next

If the committee agrees, the council will advertise the proposed direction with site notices and write to every owner and occupier in the proposed area. A 21-day consultation will follow, and the council said comments would be considered before the new direction is implemented.

The committee meets at 6.30pm on 12 November 2026 in the Council Chamber at the Civic Centre, Bridge Street, Reading.