Fines landlords face when they do not follow the right-to-rent regulations have significantly increased as of today.
Originally due to come into effect in January 2024, the increase had been postponed to the 13th of February 2024.
The penalty increase is part of a wider crackdown on illegal immigration in the UK by the Home Office.
As per the Immigration Act 2014, landlords are required to check the immigration status of any prospective tenant before their tenancy begins.
How much are the new Right to Rent fines?
For a first breach of the rent-to-right rules, the fine has increased from £80 per lodger to £5,000 per lodger and from £1,000 per occupier to £10,000 per occupier.
Fines for repeat breaches have also gone up dramatically, with an increase from £500 per lodger and £3,000 per occupier to £10,000 per lodger and £20,000 per occupier.
Therefore it is more important than ever that any landlord looking to rent their property conduct a manual check of their prospective tenant's immigration status to avoid a civil penalty from the UK government.
If your rental property is fully managed by Your Move, we will conduct rigorous vetting and referencing of all prospective tenants, including right-to-rent checks, before they sign a tenancy agreement.
How can landlords vet their tenants?
To avoid renting your property to bad or illegal tenants, landlords should comply with referencing guidelines.
This should include:
- Running a credit check
- Obtaining a reference from their employer
- Requesting proof of address via documents such as utility bills or bank statements
- Proof of identity via documents such as an in-date driving licence or passport
- A reference from a previous landlord
Bear in mind that all landlords are subject to data protection laws when obtaining data for a rent check.
What about Right to Rent checks?
After successful referencing, landlords need to conduct a right-to-rent check to ensure the prospective tenants have the right to rent property in the UK.
In short, for a potential tenant to have the right to rent in the UK they must have the right to live in the UK legally.
This may require a passport or immigration document or a 'share code' which allows landlords to check an individual's immigration status online.
You can find out more via the government webpage.
To avoid making a mistake that could lead to one of the newly increased fines, you should consider allowing us to fully manage your property.
We will conduct referencing and right-to-rent checks for you so that you know it's been done properly.
We'll also provide professional marketing, prepare the tenancy agreement for you, arrange maintenance for your rental property, provide monthly account statements, an annual rent review, and even more.
If you'd like to find out more about how we can help you with your letting journey, book a free rental appointment with your local branch experts today.
Your Move E-Marketing Executive
