We know that the introduction of new rules for landlords can be mighty confusing. As with other new sets of rules and regulations, the Right to Rent rules set out under the Immigration Act
comprise many aspects you need to be aware of. The introduction of criminal penalties if you fail to comply with the new rules means that you definitely need to know the facts and procedures you must carry out. So, we have put together a list of the main points pertaining to Right to Rent to help you stick to the rules.
What are the new Right to Rent rules?
As of 1 February 2016, landlords must check that any tenant or lodger over the age of 18 has the right to legally reside in the UK. To perform this check, you need to see original documents that prove the tenant or lodger can live in the UK and make copies of the document for your records. There is more information on acceptable documents here. Checks must be made before the tenancy agreement starts.
In some cases, tenants may not have their official documents as they may have sent them to the Home Office, or they may have an outstanding appeal with the Home Office. If this is the case, you must use the landlord’s checking service to see if the tenant is allowed to rent.
Who you need to check
You need to check the documents of individuals even if:
- Their name is not on the tenancy agreement
- There’s no tenancy agreement or the agreement is not in writing.
You don’t need to check the documents of individuals if they live in:
- A care home, hospice or hospital
- Social housing
- Student accommodation
- A hostel or refuge
- A mobile home
- Property provided by a local authority
- Property provided as part of their job (tied accommodation)
- Accommodation with a lease of seven years or longer
Civil and Criminal Penalties
It is vital that you comply with the new rules set out in the 2016 Immigration Act. Non-compliance could result in civil and criminal penalties. Failure to carry out checks means that you could be fined up to £3,000 for each tenant who is residing illegally in your property. Where previously only civil penalties (fines) were in place, repeat offenders could now risk up to five years’ imprisonment and an unlimited fine. Any penalties are based on the circumstances surrounding the breach. For more information on penalties, look here.
Ending a Tenancy
As of 1 December 2016, you must report occupants who do not have the ‘Right to Rent’ via an online form. To avoid penalties, you have to take reasonable steps to end a residential tenancy within a reasonable time. This could include the following options:
- Make a mutual agreement for the surrender of the tenancy
- Use a Notice of Letting to a Disqualified Person
- If some residents are disqualified and others are not – make an agreement that the disqualified person(s) will leave.
For more information on Right to Rent, visit the government website.
