Equality laws could affect “no benefit tenants” policies

Equality laws could affect “no benefit tenants” policies

10:52 AM, 26th February 2018, About 7 years ago 108

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Lettings agent Nicholas George recently admitted indirect discrimination on the grounds of sex, settling out of court with single mother Rosie Keogh. She was paid £2,000 compensation, because her application was refused on the grounds of being in receipt of benefits.

The action was reported today on the BBC news website (Click here to read the full story) stating: “The thousands of lettings agents and landlords around the country who reject housing benefit claimants could be flouting equality laws, due a recent legal case.

Rosie tried to rent a property in Birmingham and was turned down after revealing some of the rent would be paid by housing benefit. She immediately  made a complaint on the grounds that single women are proportionately more likely to be claiming housing benefit than single men.

The agents dismissed Rosie’s complaint, which as a former paralegal she took to county court establishing the principle of sexual discrimination under the Equality Act. Rosie told the BBC: “I felt something had to be done to challenge it. I was motivated by anger at such inequitable practice.

“It made me feel like a second-class citizen. You are being treated differently and it’s women and women with children who are bearing the brunt of this because they need to work part time.”

A Shelter survey last year of 1137 private landlords found 18% preferred not to let to benefits claimants and  43% had a blanket ban.

Shelter’s legal officer commented:”By applying a blanket policy they are actually preventing good tenants from accessing the private rented sector.

“Women are more likely to be caring for children and therefore working part-time and are therefore more likely to top up their income by claiming housing benefit.”

The NLA head of policy, Chris Norris, responded to the case saying: “Cases like this highlight the very worst of what a minority of renters have to put up with when looking to secure a home in the private rented sector.”

“The number of landlords willing to rent to housing benefit tenants has fallen dramatically over the last few years, because cuts to welfare and problems with the universal credit system are making it more and more difficult for anyone in receipt of housing support to pay their rent on time and sustain long-term tenancies.”


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TheMaluka

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13:44 PM, 26th February 2018, About 7 years ago

No problem with a few tropical fish until I saw the size of the tank. A quarter of a tonne of water, and yes this was a benefits tenant.

Monty Bodkin

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17:42 PM, 26th February 2018, About 7 years ago

Nothing was proved here.
The letting agent sensibly settled out of court rather than waste time and money fighting a lose-lose situation. Even if they had won, their name would have been dragged through the mud.
£2K settlement? Pfft!

Will Taylor

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17:49 PM, 26th February 2018, About 7 years ago

Genuine question: what if the mortgage lender or insurance company have a policy of professional tenants only? I get asked about that on every application.

Jay James

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18:39 PM, 26th February 2018, About 7 years ago

Reply to the comment left by Whiteskifreak Surrey at 26/02/2018 - 13:04
Does anybody see an elephant in Whiteskifreak tenant's room? (Regarding the purpose for keeping animals.) I find the possibility amusing.

Sam Wong

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20:26 PM, 26th February 2018, About 7 years ago

Why do I have to give a reason for not letting to a prospective tenant ?
Is not liking his/her face or 'dont think we will get along' or trusting my gut reaction discriminatory ?

Puzzler

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21:29 PM, 26th February 2018, About 7 years ago

What if no DHSS (as then was) is stipulated in the lease? Unless there is direct legislation which would overrule it, then there is no choice.

Larry Sweeney

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22:03 PM, 26th February 2018, About 7 years ago

Reply to the comment left by Dr Rosalind Beck at 26/02/2018 - 11:44
Ros. Congratulations on your excellent articles of late in particular your riposte to the Economist offering.
Guys why are we sweating about this equality garbage. Lets welcome applications from Benefits Heads, and all classes of losers . No problem we love them all we love equality Diversity and all that bull, Then pick a good tenant who happens not to be on benefits. Its not discrimination you just have one flat on offer and you cannot pick all the applicants. Simple.

Richard Mann

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3:03 AM, 27th February 2018, About 7 years ago

Reply to the comment left by Will Taylor at 26/02/2018 - 17:49
I’m not sure what the legal definition of Professional is exactly.
I’ve always understood it as being a person in employment working 40 hours usually 9-5.
I could be naive in assuming this but that’s been my general rule of thumb for all applicants/tenants.

I was always a little anxious about zooming into that detail specifically.
Are you a professional if you run your own business as a tradesperson? Or. what about a freelance ? Designer or photographer or graphic artist etc

Even so people do get laid off and professionals do go through bouts of non employment from time to time.
It may be easier to evict a professional in the event of your buy to let mortgage not being paid
“DSS” tenants often are advised by councils to ignore section 21s and wait till the bailiffs arrive with a court order to remove them ie 9 months to a year very often to remove them.
This makes the Lenders precious asset more difficult to get control of and sell off quickly

anne ireland

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3:41 AM, 27th February 2018, About 7 years ago

I will NEVER,EVER let to a person on benefits, discriminatory or not! Its landlords who are discriminated against. The law is firmly on the side of the tenant, no matter how much rent he owes,how much damage he causes, how much nuisance he causes to neighbours.And a savvy tenant is fully aware of this, and uses it to full advantage.As you have probably guessed, the above is happening to me right now. The tenant told me he was waiting for universal credit to be sorted,and that i was "harassing him" for rent. i haven't had any money since November last year. i have just learned he has received over £850 in rent allowance,and i have not received a penny of it! will he be prosecuted for fraud? will he hell as like! would you be prosecuted for nicking a bottle of booze from aldi? course you would! so where is the difference? To add insult to injury the scrote has changed the locks, which i found out when i tried to have a gas inspection done. All however, is not completely lost. i applied to DWP for the rent to be paid directly to me, and they have agreed,so he,ll be in for a shock on Friday! I would strongly advise anyone who is considering letting to people on UC to get a date of birth and national insurance number from them, it helps the DWP log into their claim much quicker-i will do this with all my future tenants in case they stop working for what ever reason. The information and online form you need is on the GOV site, and it makes very interesting reading for landlords and tenants alike.

Richard Mann

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7:31 AM, 27th February 2018, About 7 years ago

Thank you for sharing this.
I’m pleased you are turning things around. I agree wholeheartedly.

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