Landlords shouldn't panic over immigration checks claims insurer

The new ‘right-to-rent’ ruling should be no cause for panic amongst landlords and letting agents according to insurance experts.

Related topics:  Landlords
Warren Lewis
9th December 2014
To Let Again

The new ruling, which is being piloted in the West Midlands, states that landlords are now required to conduct background checks on their tenants in order to confirm that they have the legal right to seek residency in the UK.

If the checks are not carried out the landlords could face fines of up to £3,000.

The government backed initiative is being tested in Birmingham, Sandwell, Walsall and Dudley, before a possible nationwide rollout and will require landlords to take a photocopy of a tenants passport or permit, or run a background check via gov.uk.

As part of the Immigration Act 2014, ‘right to rent’ aims to ‘deter illegal immigration and prevent illegal immigrants from accessing our finite housing stock and displacing lawful residents’.

However, some critics have labelled the new ruling as further expense and ‘red tape’ for landlords, suggesting it could also lead to discrimination against foreign tenants.

Steve Jones, managing director of Rentguard explains:

“The temptation may be for landlords and letting agents in these areas to choose tenants with British-sounding names over their foreign counterparts to avoid delays or additional costs, but it is important that everyone is given a fair chance, and that they don’t land themselves in hot water for breaching discrimination rules.  

It is illegal for landlords to disregard potential tenants purely on the basis of race or gender, as the code of Practice for Landlords states:

Landlords should ensure that they comply with the Scheme. However, they must also ensure that they act in accordance with their obligations under equality legislation. Among other things, it is unlawful to discriminate in letting practices on the basis of race, which includes colour, nationality and national or ethnic origins."

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