A hotel in Runcorn town centre could be converted into a controversial shared accommodation scheme if new plans are given the green light.

An application has been submitted to Halton Borough Council to transform Fountains Hotel on High Street into a 12-bed House in Multiple Occupation (HMO).

An HMO is defined as a property housing three or more people who do not form the same household. They have individual bedrooms but share some facilities, such as kitchens and/or bathrooms.  HMOs housing more than five people must be licensed by councils.

Details about the planned new HMO are sparse, with documents submitted to the council's planning department only showing the scheme has been submitted by Bury-based planning agent MGD on behalf of the applicant, Widnes-based Propertunity Commercials.

The application for a change of use from a 12-bed hotel to 12-bed co-living property states that the rooms would be made available for social, affordable or intermediate rent. 

According to council figures, Halton has 187 known HMOs - of which 116 are larger HMOs licensed by the authority.

The general concept of HMOs has proven controversial in the past, with one borough planning chief previously likening them to ‘Victorian slums’.  But backers say they provide a vital source of affordable housing in an increasingly tough housing market.

In 2022, the council's created a working party to consider policy to address the increase in HMOs and their standards. This led to production of a document which would introduce explicit planning controls on those HMO’s that are subject to planning permission and includes - concentration of HMOs within an area; restricting sandwiching of properties by HMOs; restricting three or more adjacent HMOs,  minimum property standards; and criteria to protect the amenity of neighbours.

It will further inform Halton's new housing strategy which was signed off by borough chiefs in April.