Legal News
Social Housing Tenancy Fraud on the Rise (13 September 2011)
Date: 13/09/2011
Almost 160,000 council homes in Britain are being subject to illegal subletting, according to Experian. In 2009, The Audit Commission estimated that around 50,000 council homes were subject to illegal occupation at a cost of £500 million per year in tenancy fraud but fresh analysis has concluded that the number of homes illegally sublet could be as great as 157,077 at a cost of over £2 billion a year. This new data was based on a study of 125,000 properties operated by ten local councils and housing associations.
Researchers investigated the number of social housing tenants who failed to occupy their tenancy address and were hence found to be living at different property. The credit activity of other adults using the council or housing association property as their home address was also examined. The researchers concluded that illegal subletting was occurring in at least three per cent of the five million social housing properties Britain has to offer. The report claims that if these properties were to be made available to those in temporary accommodation, in excess of £2 billion a year would be saved, and the demand for social housing reduced.
Nick Mothershaw, the director of fraud and identity at Experian, explains that their initial research suggests a higher level of social housing tenancy fraud than previously estimated. The research also demonstrates the effectiveness of data matching as a reliable indicator of illegal occupancy and subletting.
The housing team at Duncan Lewis offers guidance on any matter relating to local housing authorities, housing applications, and tenancy. Their housing solicitors ensure that clients receive the highest quality of legal assistance.