As of 1 December 2014, landlords of private rented accommodation in certain parts of the Midlands are under an obligation to check and keep records of the immigration status of their tenants and other authorised occupiers in advance of letting their property or accepting them as a lodger.  Failure to do so could lead to a civil penalty being imposed on the landlord of up to £3,000 per unlawful occupier.

The Immigration Act 2014 ("the Act") sets out the statutory framework for the new rules, which are now effective in Birmingham, Walsall, Sandwell, Dudley and Wolverhampton under a Government pilot scheme.  The rules are due to be phased into the rest of the country following an evaluation of the pilot scheme by the Home Office in the spring of 2015. Under the Act, people with a right to rent fall into two broad categories, being those with:

1.  An unlimited right to rent:

  • British citizens or EEA and Swiss nationals ("relevant national");
  • People with a right to abode or have been granted indefinite leave to remain or have no time limit of their stay in the UK; or

2.   A time-limited right to rent:

  • A person who has been granted leave to enter or remain in the UK for a limited period; or
  • Not a relevant national and is entitled to enter or remain in the UK by virtue of an enforceable EU right or of any provision made under section 2(2) of the European Communities Act 1972.

Under the Act, anyone falling outside of the categories above is disqualified from occupying residential premises in the UK.  A landlord who authorises a disqualified person to occupy residential premises may be in breach of the Act and may be liable for a civil penalty of up to £3,000 per unlawful occupier.

For those people in category 2 above, landlords should make follow-up checks to ensure that the immigration status of the occupier allows the occupier continuing right to rent.

The Act provides that landlords may appoint an agent to carry out immigration status checks on their behalf, in which case the agent will assume liability for breaches of the Act.

In addition to the significant administrative burden now upon them, landlords (at least those in the Midlands – for now) must also be careful not to fall foul of the Equality Act 2010 which makes it unlawful for landlords (or their agents) to discriminate against a person on the grounds of race.

The Home Office has issued the following codes of practice which it recommends landlords and agents follow:

  • Code of Practice on illegal immigrants and private rented accommodation (Civil penalty scheme for landlords and their agents); and
  • Code of Practice for Landlords (avoiding unlawful discrimination when conducting "right to rent" checks in the private residential sector).

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.