Tenancy fraud crackdown saves £5m, council says

A tenancy fraud crackdown has saved Birmingham City Council almost £5m and returned dozens of council homes to families in need, the authority has said following an investigation.

In total, 36 homes were recovered and re-let, while 210 housing applications and 12 Right to Buy applications were cancelled as either a result of fraud investigations or because applicants failed to meet eligibility criteria, according to the council.

The savings were reported as demand for social housing continues to rise, with more than 35,000 people currently on the city's housing register.

Baber Baz, city cabinet member for housing, said tenancy fraud was preventing people in genuine need from accessing council homes.

"We will not tolerate it and will use the full extent of the law to root out people abusing the system," the councillor said.

Investigators uncovered a range of offences, including illegal subletting of council properties, fraudulent housing applications, false Right to Buy claims, tenants no longer living at their registered address, and unlawful succession claims.

The council said fraud prevention around the Right to Buy scheme had improved significantly, with almost four times as many applications stopped compared with the previous year.

It said this reflected better intelligence gathering, stronger partnership working between council teams and more effective referrals, rather than an increase in fraud itself.

Baz said ensuring homes were allocated fairly was vital at a time of unprecedented demand.

"With more than 35,000 people waiting for a good and safe home, it is extremely welcome that we are taking action to ensure each council home goes to someone who needs it, while saving a significant amount of taxpayers' money."

He also thanked residents who had helped identify suspected fraud.

"The tip-offs and reports from honest tenants and residents across the city are invaluable in helping us tackle tenancy fraud," he said.

The council is encouraging residents to report suspected tenancy fraud, including homes that appear abandoned, are being illegally sublet, or where occupants are believed to have provided false information to obtain social housing.

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