Next week is Fraud Awareness Week and with c1.2 million people in the UK on the waiting list for social housing, it’s more important than ever that we spot and stop tenancy fraud.
Tenancy fraud can take different forms and usually means someone has lied or hidden the truth to get a home or is unlawfully sub-letting their home and making a profit.
A recent case of tenancy fraud
When a PH Jones gas engineer recently visited one of our properties, he was surprised to be met by Miss C* (who did not match the tenant’s name he had for this appointment) who complained to him that her rent had been increased to £1000 per month.
Thinking this seemed unusual, the engineer reached out to our dedicated Fraud Officer, Alastair, who is part of our Tenancy Services team.
Alastair followed up with Miss C and found out that the tenant who was supposed to be living in the home, Miss M*, had been unlawfully sub-letting to Miss C for almost 4 years.
Miss C said that she saw a listing for the property on GumTree and was made to believe that Miss M was the owner and landlord of the property.
Collecting evidence
During his conversation with Miss C, Alastair logged the following evidence:
- A self-described ‘legally binding’ written agreement between the parties which was headed ‘Rental Contract Agreement’ and in which Miss M was described as the owner and landlord of the property.
- Bank statements showing numerous payments from Miss C to Miss M
- WhatsApp chat logs in which Miss M asked Miss C to send her pictures of the gas meter readings for the property.
What happened next?
Alastair attempted to make contact with Miss M to ask her to explain her side of the situation. He received no reply but was made aware by Miss C the following day that Miss M had been in touch and told her that she needed to move back in, so Miss C had to leave.
Shortly afterwards, Miss M changed the locks to her property and started to make life very uncomfortable for Miss C, who hadn’t yet moved out. Miss C called the police for help but eventually she was forced to leave and was left homeless.
The legal case
Our Housing Legal team worked alongside Tenancy Services to start possession proceedings against Miss M. During the case, Miss M told the judge that Miss C was just a lodger and a friend, and that she had also been living there the whole time.
Thanks to the evidence collected by Alastair, the judge found that Miss M had dishonestly given up possession of the property and had been unlawfully sub-letting.
The judge also went on to make an Unlawful Profit Order against Miss M in respect of the rent she had received from Miss C. As Miss M’s rent was entirely covered by universal credit, the money she received from Miss C was all profit. The judge reached a best estimate of just over £39,000, which said sum Miss M now needs to repay.
Tenancy fraud awareness
Research indicates that social housing fraud costs the UK taxpayer in excess of £1 billion per annum and we know that it prevents vulnerable people and families from accessing much needed housing.
If you suspect a neighbour might be committing tenancy fraud, you need to report it to us and give us as much information as possible so we can investigate. We’ll make sure you remain anonymous from the person you are reporting.
