The cabinet office has announced a new data-sharing operation with rental platform Airbnb, seeking to identify and take action against illegal subletting on the platform.
The scheme will allow councils to cross-check their social housing records rental listings on Airbnb, with those identified as renting out a social housing property facing eviction, fines and up to two years in prison.
Early results have shown that 470 potential cases of fraud have been identified across participating local authorities, with the Tenancy Fraud Forum estimating their could be 6,000 social homes in England being illegally sublet. Government estimates predict that each of these cases could be costing the taxpayer up to £78,300, a figure that includes legal costs to recover the property and rent foregone during void periods.
Lisa Marçais, General Manager for UKI, Northern Europe, and MEA, Airbnb, said:
“Social housing fraud has no place on Airbnb. We’re proud to have driven the first ever data-sharing agreement of this kind in partnership with the Cabinet Office and local authorities across the country, but to truly tackle this problem we need the entire short term rental industry to follow suit and participate in this initiative.
“We remain committed to swiftly removing confirmed fraudulent listings and have a clear, established process for councils to flag issues with properties listed on Airbnb.”
The government says the scheme will help to ensure that families in need have quicker access to suitable housing, in a first-of-its-kind partnership.
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Speaking to the BBC, a Notting Hill Genesis resident spoke of her experience living in the same building as what she suspects is an illegally sublet flat. She described seeing large groups with suitcases and travel bags frequenting the property, and lockboxes appearing outside the flat that were routinely removed and moved. Notting Hill Genesis told the BBC it has a “zero tolerance approach to tenancy fraud and the misuse of social housing”, and assured any investigations are taken seriously and acted on if proven legitimate.
Cllr Paul Swaddle, Leader of Westminster City Council said:
“Westminster has seen the worrying proliferation of short term lets over several years and has continued to call for platforms to share the data needed to stop people profiting at the expense of our residents. For too long, a minority of operators have been allowed to break the rules, leaving us to deal with housing loss, fly tipping and noise nuisance.
“This agreement is an important first step and demonstrates what can be achieved when we work together. I have already had a productive meeting with senior executives from Airbnb who recognise the seriousness of the issue and have pledged to address our concerns. Other platforms now need to step up.
“There is no hiding place for anyone abusing the system and we will continue rooting out illegal subletting and returning homes to those most in need.”
