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What is Fit and proper person test?
Last verified 31 October 2026
The fit and proper person test is the check a local housing authority applies when deciding whether someone may hold a licence for, or manage, a licensable house. It comes from section 66 of the Housing Act 2004.
Why it matters to landlords
The council must have regard to evidence that the person has committed an offence involving fraud or other dishonesty, violence or drugs, or an offence listed in Schedule 3 to the Sexual Offences Act 2003. It must also consider evidence of unlawful discrimination based on sex, colour, race, ethnic or national origins or disability in connection with a business, and evidence of breaking housing law or landlord and tenant law. Acting against an approved code of practice can count too.
Evidence about an associated person can also count where it is relevant to the person's fitness. A person is automatically not fit and proper if a banning order is in force against them. For the management arrangements, anyone else involved in managing the house must also be fit and proper, and the council looks at competence and at whether the structure and funding of the management are suitable. Disclose past convictions honestly on the application form and ask the council before you apply if you are unsure.
Example
Andrew applies for a licence for a five-person HMO in Preston. He declares a conviction from 2019 and attaches a short letter, a managing agent agreement, and training certificates. The council weighs the evidence and decides whether he is a suitable licence holder.
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