0:03 AM, 19th March 2024, About 8 months ago 19
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Landlords and letting agents in England have been hit with a significant rise in fines for failing to comply with Right to Rent regulations.
According to government figures, penalties jumped by a staggering 405% last year – hitting £151,480 compared to just £29,960 the previous year.
The number of fines issued also increased dramatically, rising from 32 in 2022 to 155 in 2023.
The Right to Rent scheme requires landlords to verify the immigration status of all adult tenants so they don’t rent illegally. They must also keep accurate records to avoid a hefty fine.
The chief executive of Credas Technologies, Tim Barnett, said: “Landlords and letting agents are facing increased legislation and compliance requirements, and without the support of technology, they are vulnerable to heavy fines and even prison.
“It’s more important than ever that landlords and letting agents conduct these checks and keep accurate records for a year after the tenancy agreement ends, as they could face an unlimited fine and up to five years in prison if they are found to have knowingly rented to someone who didn’t have the right to live in England.”
He added: “Landlords and letting agents also need to be able to demonstrate a fair tenant selection process to avoid claims of unlawful discrimination in respect of any of the protected characteristics under the Equality Act 2010.
“They will need to demonstrate, with evidence, that they have a carefully considered a fair selection process that has been followed stringently.”
Credas is a certified Identity Service Provider and can perform ID checks in real-time using facial recognition.
The pressure on landlords intensified further in February with a big hike in penalties – first-time landlord offenders now face fines of up to £5,000 per lodger and £10,000 per occupier.
That’s a steep rise from the previous £80 and £1,000 respectively.
Repeat offenders face even steeper penalties, with fines reaching £10,000 and £20,000 per lodger and occupier.
These stricter measures are part of the Home Office’s wider crackdown on illegal immigration.
Landlords and agents must also ensure fair tenant selection practices to avoid accusations of discrimination.
The Equality Act 2010 protects individuals from discrimination based on characteristics like race, nationality and gender.
Landlords need to demonstrate a fair and objective selection process.
The Home Office also updated its Right to Rent guidance in October 2022 so landlords can verify IDs either manually, remotely via a certified IDSP, or through the Home Office Online checking service.
Video calls for verifying British IDs are no longer accepted.
Credas also offers these tips for landlords and agents to prepare for stricter tenant application processes:
Clint
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Sign Up13:50 PM, 20th March 2024, About 8 months ago
Reply to the comment left by TJP at 20/03/2024 - 12:16
I have four properties on the market and a lot more to go. I fully agree that the courts are fully corrupt and totally on the side of the tenant which should not be the case. They should be totally unbiased and fair.
In one case, I applied for an eviction using a section 21 notice where the tenant owed me around £7000. After the court gave an order for the tenant to leave by a certain date, the tenant did not leave so to speed things up, I applied for a high court bailiff. I had to send a copy of the application to the tenant so the tenant could dispute the rent arrears but did not however, the judge did not allow the application to go through as he stated that the case was a no-fault eviction so was suitable for the county court bailiff.
In a recent case, I made two money claim orders for rent totalling £7800 and at the court hearing (where both claims were heard together) the tenant said, that the boiler was not working and there were mice in the property. Whilst the tenant was in the property, I had all the evidence in text messages that I tried to get into the flat and repeatedly kept asking the tenant to send a contractor and for me to come and examine the flat however, the tenant responded to all the texts repeatedly requesting for repairs but not stating when I or workman could enter the flat.
At the hearing, where the judge had all evidence, that I tried to enter the flat (where there were over fifty clear messages requesting appointments for entry to the flat) to sort out the repair and the mice problem, the judge ruled in favour of the tenant as the repair was not carried out. When asked why the tenant did not give entry to the flat, she said that the flat belonged to the landlord so he could come at any time.
I pointed out to the judge that by law, I could not just enter the flat to which he said I could however, have applied to the court to gain entry by an injunction. The judge offered the tenant compensation where he worked out percentages of around 12% and allowed court fees but refused other costs such as interest on the money due. When I got the written order, the tenant was ordered to pay about £1800 and I was completely puzzled how she was ordered to pay such a small amount as there was no breakdown as to how the judge arrived at this figure. I wrote to the Judge repeatedly but to date have had no answer.
The judge supported the tenant in every way even when she spoke out of turn in the court.
Stella
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Sign Up14:18 PM, 20th March 2024, About 8 months ago
Reply to the comment left by Clint at 20/03/2024 - 13:50
There is no justice and it will be even worse after the RRB when we also have tribunals to contend with.
From my experience pre 1988 housing act they were also completely on the side of the tenant.
Jessie Jones
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Sign Up12:23 PM, 23rd March 2024, About 8 months ago
Credas offers some really woke tips there. Meanwhile, back in the real world, I will continue to select tenants based on whether I think they and I will get along well.
jackie Lines
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Sign Up20:28 PM, 25th March 2024, About 8 months ago
we all no what's going on , this build to rent and the banks willingness for funding these projects. empty flats in Perry Barr for the common wealth games., Which we all paid for,,,,, its a complete scam
jackie Lines
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Sign Up21:02 PM, 25th March 2024, About 8 months ago
is there 60 MP's who have left, with the brown envelope ? it's hard to run with a 20 MPH restriction
jackie Lines
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Sign Up21:12 PM, 25th March 2024, About 8 months ago
application processes:
Develop clear and objective selection criteria
Standardise the application process with a standard form
Offer equal viewing opportunities to all interested applicants
Avoid discriminatory language and imagery in advertisements
Consider blind application review to eliminate unconscious bias
Utilise certified IDSP software for real-time ID verification
Educate staff on fair housing laws and anti-bias practices
Diversify the tenant selection team for a wider range of perspectives.
jackie Lines
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Sign Up21:23 PM, 25th March 2024, About 8 months ago
Reply to the comment left by jackie Lines at 25/03/2024 - 21:12
These lot are absolutely mental ,setting guidelines they don't follow themselves
jackie Lines
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Sign Up21:34 PM, 25th March 2024, About 8 months ago
van guard, black rock who knows +
find out
jackie Lines
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Sign Up22:13 PM, 25th March 2024, About 8 months ago
sneaky report,. if you do handover your property, they will have the right to take it after all ,,,,, william said my estate is the land , serco belongs to prince william