Council tenants who sub-let homes may face prison or fine

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Council tenants in England who sub-let their home will face up to two years in prison under new government proposals.

If the new laws are passed, local councils would receive more powers to investigate fraud, including better access to information from banks and utility companies.

The BBC quoted Housing Minister, Grant Shapps as saying: “Tenancy cheats are taking advantage of a vital support system for some of the most vulnerable people in our society and getting away with a slap on the wrist, while our waiting lists continue to grow.

“It is time for these swindlers to pay the price. It would cost us billions of pounds to replace the huge number unlawfully occupied social homes across the country.”

Illegal subletting is thought to be widespread problem for housing associations and councils. The government estimates that more than 160,000 such properties are occupied illegally, putting huge pressure on the 5m-strong waiting list for social housing.

The government are going to consult on proposals for specific criminal offences in existence for social security fraud. But those breaking the rules could face two years in jail and a fine of up to £50,000.

13 January 2012

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