Posts with tag: immigration act

New Provisions Under Immigration Act for Landlords and Letting Agents

Published On: November 3, 2016 at 9:37 am

Tags: immigration act,immigration checks,letting agents,Right to Rent,right to rent scheme

Earlier this week, the Home Office announced new provisions under the Immigration Act 2016 for landlords and letting agents.

Failure to comply with the Right to Rent scheme will become a criminal offence for landlords and letting agents on 1^st December 2016.

The Home Office explained that the new criminal offences have been created to deal with rogue landlords and letting agents that knowingly, or with reasonable cause to believe, let to illegal migrants.

Under the new provisions, it will also be easier to evict illegal migrant tenants.

New Provisions Under Immigration Act for Landlords and Letting Agents

The Right to Rent scheme was first implemented in parts of the West Midlands on 1^st October 2014, before being expanded across the rest of England from 1^st February 2016. The Home Office claims that it will be extended to the rest of the UK in “due course”.

Under the civil penalties currently in place, landlords or letting agents that fail to make the relevant immigration checks are liable for a fine of up to £3,000 per illegal migrant tenant.

At present, if a landlord finds that an existing tenant is an illegal migrant, they cannot evict them from the property.

The new provisions will enable landlords to evict illegal migrant tenants more easily, and in some circumstances, without a court order. Landlords will obtain a notice issued by the Home Office, which confirms that the tenant is disqualified from renting in the UK as a result of their immigration status. On receipt of this, the landlord will be expected to take action to ensure that the illegal migrant leaves the property.

The Government has also introduced four new criminal offences to target rogue landlords and letting agents that exploit migrants and consistently flout the law by failing to conduct Right to Rent checks, or failing to take steps to remove illegal migrants from their property.

These landlords or agents may face a fine, up to five years’ imprisonment, both, or a fine and imprisonment and further sanctions under the Proceeds of Crime Act.

However, the Act also offers a defence against the offences for landlords who have taken reasonable steps within a reasonable timeframe in seeking to terminate a tenancy involving an illegal migrant.

The Immigration Minister, James Brokenshire, comments on the new provisions: “We are clear that illegal immigrants should not be able to access or remain in private rented accommodation, preventing lawful residents from finding a home.

“We know the vast majority of landlords are diligent in their responsibilities when it comes to their tenants, and we want to help them to be able to evict illegal immigrants more easily.

“But unscrupulous landlords and agents who exploit migrants and who repeatedly fail to carry out Right to Rent checks or fail to take steps to remove illegal immigrants from their property will find they could now face going to jail.”

The Managing Director of the Association of Residential Letting Agents (ARLA), David Cox, also responds to the announcement: “We are pleased to have a date for implementation; this goes some way towards addressing the issues revealed by Right to Rent checks since their implementation earlier in the year. If these measures prove to be effective in tackling rogue landlords who offer overcrowded and poor quality housing, it will be positive.

“Letting agents need to remember the new rules mean if they do flout the law, their company will be liable to pay a £3,000 civil penalty per occupier who is an illegal over-stayer, and they may be personally liable to an unlimited fine, as well as the potential of up to five years in prison.”

The Government’s factsheet can be found here: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/537218/Immigration_Act_-_Part_2_-_Residential_Tenancies.pdf

Right to Rent Code of Practice Updated

Published On: January 4, 2016 at 9:57 am

Author: Em Morley

Categories: Landlord News

Tags: Code of practice,immigration act,landlord responsibilities,letting agents,Right to Rent

Right to Rent Code of Practice Updated

The Right to Rent scheme will be implemented in under a month, and the Government has updated its statutory code of practice to help landlords and letting agents get to grips with the new laws.

However, the code has left industry professionals confused as it suggests that the introduction of the scheme will be phased in geographically.

It states that the scheme will be enforced “on a phased geographical basis, and will apply to residential tenancy agreements entered on or after the date of implementation for that area”.

Then the code directs landlords and agents to the Right to Rent website, where it says that “landlords of properties throughout England should check that someone has the right to rent before letting them a property” for tenancies starting on or after 1^st February.

The phased geographical implementation may refer to the pilot Right to Rent scheme, which was enforced in Birmingham, Walsall, Sandwell, Dudley and Wolverhampton. Landlords and agents in those areas have been obliged to conduct checks for just over a year.

The code does not make it clear whether there will be a further phased introduction.

However, it does confirm its legal status, stating: “This is a statutory code. This means it has been approved by the Secretary of State and laid before Parliament. The code does not impose any legal duties on landlords, nor is it an authoritative statement of the law; only the courts can provide that.

“However, the code can be used as evidence in legal proceedings and courts must take account of any part of the code which may be relevant.

“Home Office officials will also have regard to this code in administering civil penalties to landlords and their agents under the Immigration Act 2014.”

The code can be found here: https://www.gov.uk/government/publications/right-to-rent-landlords-code-of-practice/code-of-practice-on-illegal-immigrants-and-private-rented-accommodation

Right to Rent Pilot Scheme Evaluation

Published On: October 21, 2015 at 4:05 pm

Author: Em Morley

Categories: Landlord News

Tags: immigration act,immigration checks,landlord immigration checks,Right to Rent

An evaluation of the Right to Rent pilot scheme found that in the first six months, 109 illegal immigrants were discovered.

By mid-September, only nine had been taken out of the UK, with a further five awaiting removal. Another nine were ordered to report to Immigration Enforcement, but failed to do so.

Yesterday (20^th October 2015), the Home Office published an evaluation of the pilot scheme that was conducted in the West Midlands.

At the same time, it announced that a national rollout of the Right to Rent scheme will come into force on 1^st February 2016. Read our guide on the checks here: /right-to-rent-checks-in-force-from-february/

The report, which covers the first six months of the pilot, from 1^st December 2014-31^st May 2015, reveals that very few landlords or letting agents were penalised, with just five civil penalty notices served. Also,

Right to Rent Pilot Scheme Evaluation

13 referral notices were issued.

The Right to Rent scheme was introduced in the Immigration Act 2014, with the West Midlands pilot using civil penalties.

However, under the new Immigration Act 2015, the penalties will become criminal sanctions.

The Home Office reports that out of 44 letting agents in the region, 36 felt they were informed about the scheme, alongside 70 out of 114 landlords.

It also states that agents voiced concerns over rogue landlords and agents not complying with the scheme.

Compliant agents were worried that immigrants unable to provide documentation could be exploited by the private rental sector.

In addition to online surveys, the Home Office analysed interviews and focus groups, and conducted a mystery shopper experiment.

The report found that the Landlords Checking Service made 109 decisions over prospective tenants’ right to rent in the UK, resulting in 95 yes decisions and 15 no decisions.

As a result of referrals through the scheme, there were 37 enforcement visits in the region.

In total, 109 people were identified as living in the UK illegally, of whom 63 were previously unknown to the Home Office.

The mystery shopper exercise revealed that a higher proportion of black and minority ethnic renters were asked to provide more information when enquiring about a property.

However, the report notes that they were “more likely to be offered properties”¹, compared to white British tenants.

Prior to the scheme, 53 out of 64 letting agents always required photographic ID. This increased to 60 out of 64 when the scheme began.

Overall, letting agents believe that the scheme does not have an obvious impact on the market.

A higher proportion of landlords – 27 out of 35 – said the scheme increased their workload, compared with 26 out of 56 agents.

Of these 26 agents, various reasons were given as to why their workload was raised, including: explaining the scheme to tenants and landlords; monitoring when follow-up checks are due; and dealing with unfamiliar paperwork.

Three pulse check surveys were conducted at various points during the evaluation.

During the first pulse check, agents were asked how they planned to carry out the checks. Out of 41 respondents, 20 said they would conduct the checks in-house, 16 would use a tenancy referencing service and five did not know.

Have you thought about how you will conduct the checks?

¹https://www.gov.uk/government/publications/evaluation-of-the-right-to-rent-scheme

Landlords may end up only renting to white tenants

Published On: December 17, 2014 at 4:05 pm

Author: Em Morley

Categories: Landlord News

Tags: immigration act,racial discrimination

The imminent trial of the Immigration Act 2014 in the West Midlands has led opponents to warn about the possibilities of discrimination as a result.

Cut-down

Under the new bill, designed to cut-down on the number of illegal migrants living within the U.K, approximately two-million landlords will be forced to check the immigration status of potential tenants. Landlords found to be negligent or simply fail to conduct checks will face fines of up to £3,000.

Five areas have been selected in which the act will be trialed, namely Birmingham, Walsall, Sandwell, Dudley and Wolverhampton.

Controversy

Since its proposal, the Immigration Act has faced opposition from critics believing that the Government was in effect, letting ordinary people police the immigration system.

In a letter to the Telegraph newspaper, a high-profile group of opponents said that landlords were being, ‘conscripted as border guards.’[1]

Discrimination

Campaigners who added their signature to the letter include Director of Generation Rent Alex Hilton, Natalie Bennett, leader of the Green Party and Graham Jukes, CEO of the Chartered Institute for Environmental Health. The letter says that the changes will, ‘drive discrimination, encouraging otherwise fair-minded landlords and agents to let to white tenants with British sounding names, just to reduce the likelihood of additional bureaucracy from the Home Office.’[1]

Landlords may end up only renting to white tenant

The Home Office has said it will look at results from the trial period before the scheme is rolled out across the U.K during 2015.

Tough

Immigration and Security Minister James Brokenshire defended the act, saying that the Government is, ‘building an immigration system that is fair to British citizens and legitimate migrants and tough on those who abuse the system of flout the law.’[1]

He went on to suggest that, ‘the right to rent checks will be quick and simple,’ but will in turn, ‘make it more difficult for immigration offenders to stay in the country when they have no right to be here.’[1]

Brokenshire also believes that the new regulations will, ‘act as a new line of attack against unscrupulous landlords who exploit people by renting out overcrowded and unsafe accommodation.’[1]

[1] http://www.landlordexpert.co.uk/2014/12/17/uk-landlord-may-end-up-only-renting-to-white-tenants-with-british-names/