Councils can fine landlords up to £40,000 instead of prosecuting them. You have two chances to change the outcome: representations to the council, then an appeal to a tribunal. Both have strict 28-day deadlines.
Updated 11 November 2026
The essentials
- A civil penalty is a fine a council can give a landlord instead of prosecuting, for offences such as letting without a required licence, ignoring an improvement notice or breaking the HMO management rules. Councils also call it a financial penalty or a civil penalty notice; the power is in section 249A of the Housing Act 2004.
- For offences from 1 May 2026 the maximum is £40,000 (it was £30,000). New Renters' Rights Act breaches, such as not giving a written statement of terms, carry up to £7,000.
- The council must be sure beyond reasonable doubt that you committed the offence, the same standard as a criminal court.
- You can appeal to the First-tier Tribunal (Property Chamber) within 28 days of the final notice. The fine is on hold until the appeal is decided.
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How a council fine works, step by step
- Notice of intent. The council must send this within 6 months of having enough evidence (or of the offence stopping, if it was ongoing). It says how much it intends to fine you and why.
- Representations: 28 days. You can write to the council explaining why you shouldn't be fined, or why the amount is too high. The council must consider what you say.
- Final notice. If the council goes ahead, it sends a final notice. You have 28 days to pay.
- Appeal: 28 days. You can appeal against the fine itself, the amount, or both, using form HO4. The application fee is £200, plus £300 if there's a hearing. You can apply for help with fees.
If you miss the 28-day appeal deadline, the tribunal can extend it, but only for a good reason. Late appeals are often refused, so diary the date as soon as the final notice arrives.
What the tribunal can do
- The appeal is a re-hearing: the tribunal looks at the case afresh, including evidence the council didn't have.
- It can confirm the fine, reduce it, cancel it, or increase it, up to the maximum. An appeal isn't risk-free.
- It may offer mediation first, which is voluntary and confidential.
- If you win, it can order the council to repay your tribunal fees.
- Either side can ask for permission to appeal to the Upper Tribunal.
How councils set the amount
Each council has its own civil penalty policy. For offences from 1 May 2026, government guidance gives councils a national starting point for each offence, which they then adjust up or down for aggravating and mitigating factors, and for local rent levels.
| Offence or breach | Starting point |
|---|---|
| Failing to comply with an improvement notice | £25,000 |
| Mandatory or additional HMO without a licence | £17,000 |
| Property in a selective licensing area without a licence | £12,000 |
| Knowingly letting an HMO to more people than the licence allows | £20,000 |
| HMO management: failing to take safety measures | £20,000 |
| HMO management: gas, electricity or gas safety certificate | £12,000 |
| HMO management: water supply and drainage | £10,000 |
| HMO management: common parts, living accommodation or waste | £7,000 |
| HMO management: information to occupiers | £3,000 |
| Breaching a banning order | £35,000 |
| Unlawful eviction or harassment | £35,000 |
| Re-letting within 12 months after using the moving-in or selling ground | £25,000 |
| No written statement of terms within 28 days of a new tenancy | £4,000 |
Source: GOV.UK statutory guidance on civil penalties. For offences before 1 May 2026, the council's older policy applies, with a £30,000 maximum.
Grounds that can change the outcome
- No offence, or not you. The council must prove each part of the offence beyond reasonable doubt, including that you were the person managing or in control of the property.
- Reasonable excuse. A genuine reason for the failure can be a full defence for many offences. You have to show it was more likely than not.
- Licence already applied for. For licensing offences, a properly made licence application or temporary exemption notice in place at the time can be a defence.
- Defective notices. Notices must contain the information the law requires. A defective improvement notice, for example, can't support a fine for breaking it.
- The policy wasn't followed. Ask for the council's civil penalty policy and its calculation. Tribunals generally start from the council's policy, so a misapplied policy, double counting or a wrong category matters.
- Mitigation. A first offence, putting things right quickly, applying for the licence, your financial circumstances, and the total when several fines are given for one property.
What to do if you get a notice of intent
- Diary both deadlines: 28 days for representations, then 28 days from the final notice to appeal.
- Fix the problem now. Apply for the licence, book the work, send the certificates. Councils and tribunals take it into account.
- Ask for the council's civil penalty policy and how it worked out your figure.
- Make written representations with evidence: dates, invoices, photos, correspondence. The council can reduce or drop the fine at this stage.
- If you appeal, use form HO4 within 28 days and include the final notice. Think about whether mediation could settle it.
Many fines are for letting without a licence the council requires. Check your area with our London licensing checker or your council's website, and keep certificates in date with our compliance checklist.
Questions landlords ask
How much can a council fine a landlord?
Up to £40,000 per offence for offences committed from 1 May 2026, and up to £30,000 before that. New Renters' Rights Act breaches, such as not giving a written statement of terms, carry up to £7,000.
How long do I have to appeal a council fine?
28 days from the date of the final notice, to the First-tier Tribunal (Property Chamber) using form HO4. Before that, you have 28 days from the notice of intent to make representations to the council.
How much does it cost to appeal?
The application fee is £200, plus £300 if there's a hearing. You can apply for help with fees, and if you win the tribunal can order the council to repay them.
Do I have to pay the fine while I appeal?
No. The final notice is suspended until the appeal is decided or withdrawn.
Can the tribunal increase my fine?
Yes. The appeal is a re-hearing, and the tribunal can confirm, reduce, cancel or increase the fine, up to the legal maximum.
What should I do if I get a notice of intent to issue a civil penalty?
Note the 28-day deadline, fix the problem straight away (for example, apply for the licence), ask the council for its civil penalty policy and calculation, and send written representations with evidence. The council can reduce or drop the fine at this stage.
Can a council fine me and prosecute me for the same thing?
No. A civil penalty is an alternative to prosecution, and only one financial penalty can be given for the same conduct.