Residential Landlords in Fear of Hefty Fines over Illegal Renters

The Government's crackdown on illegal migration has seen a tripling of penalties for landlords who fail to enforce 'right-to-rent' rules.

From the 22nd of January 2024, the Government will significantly increase civil penalties for Landlords who let a property to individuals without a legal right to reside in the UK. This comes as a result of the increased government focus on the issue of the irregular migration into the UK. The move will see landlords facing up to five years in prison and fines as high as £20,000. The higher penalties will kick in at the start of 2024.

All Landlords in England are legally required to conduct a right-to-rent check before letting their property. The Requirement is set out in sections 20 to 24 of the Immigration Act 2014. It applied to residential tenancy agreements where "one or more adults have the right to occupy the premises", meaning those without lawful immigration status are excluded.

The penalties for initial violations will escalate significantly for landlords, with fines rising from £80 per lodger and £1,000 per occupier to a maximum of £5,000 per lodger and £10,000 per occupier. In cases of repeated breaches, landlords may face heightened penalties, reaching up to £10,000 per lodger and £20,000 per occupier, a substantial increase from the previous fines of £500 per lodger and £3,000 per occupier.

A Landlord will receive the respective fine for a lodger or occupier should they be found to be letting a property or a room at their property under a License or an Assured Shorthold Tenancy to an individual without a legal right to reside in the UK.

"If a landlord is found to have knowingly let their property to an illegal tenant, they may be committing a criminal offence. Carrying out adequate right to rent checks gives rise to a 'statutory excuse' which guards against both civil and criminal liability, so it's important to retain evidence of steps taken," said Property Paralegal Amelia Ford, who specialises in Residential Repossession Law.

"Every residential landlord is responsible for meeting all legal requirements. They cannot avoid those responsibilities by assuming an agent is doing the necessary checks. They need to see evidence of the checks and know that records are kept in case of any subsequent challenge."

For landlords seeking guidance on right-to-rent rules, please reach out to Amelia Ford on 023 8071 7429 or via email at ameliaford@warnergoodman.co.uk. We welcome the opportunity to address your concerns, offering support and advice to assist you in handling any issues or appealing penalty notices.