The lockboxes appeared overnight. Then came the suitcases. In a Notting Hill Genesis block in King’s Cross where Geraldine Girardi has lived for 26 years, the tell-tale signs of illegal holiday lets became impossible to ignore. “Recently there’s been lots of people coming and going with suitcases. They’re not residents of the building,” said Girardi, a leaseholder and member of the Social Housing Action Campaign. “It’s really obvious someone’s trying to avoid detection.”
Girardi believes one social housing flat in her building has been illegally sublet as short-term accommodation. Her suspicions are part of a much wider picture emerging from a new data-sharing scheme between local councils and Airbnb, coordinated by the Cabinet Office’s fraud team. The initiative allows councils to cross-check social housing records against Airbnb listings in an effort to tackle what the government calls “social housing fraud.”
“Nearly 6,000 social homes in England are suspected of being illegally sublet on short-term rental platforms, with 470 cases identified.”
Early results suggest 470 cases of social housing fraud have been identified so far across participating local authorities. Offenders face penalties including eviction, fines and up to two years in prison. According to the Tenancy Fraud Forum, a not-for-profit organisation, nearly 6,000 social homes in England are suspected of being illegally sublet on short-term rental platforms.
Fraudsters could include people who have more than one home or are living abroad. The government estimates that on average, each case costs taxpayers around £78,300 – a figure that could include paying for temporary accommodation for genuine applicants, legal costs to recover property, and rent foregone during the void period between tenancies.
The Tenancy Fraud Forum estimates that at least 1,000 social homes are illegally advertised for short-term lets on Airbnb in London over a period of a year. If other platforms are included, this number is likely to be far greater.
BBC London has spoken to residents who are convinced illegal holiday lets are operating in their buildings. They describe lockboxes appearing outside flats, a constant stream of unfamiliar people arriving with suitcases, and in some cases antisocial behaviour. Girardi said residents had repeatedly found lockboxes attached to the building, which – although can be used by housing associations or to help let carers into the building – are frequently removed and relocated to avoid being seen.
Whether a tenant can sublet a room depends on the terms of their individual tenancy agreement and may require the council’s permission, according to the Cabinet Office. Subletting an entire social housing property is an offence.
Some campaign groups argue that tackling illegal subletting will have “very little impact on the acute housing crisis.” But for now, the data-sharing scheme has only begun to scratch the surface of what is believed to be a widespread practice.