Benefit fraudster tenants - eviction?

[Goldie_]

Private landlord is letting out a flat in Scotland. Landlord /owner isn't a big rich business, instead a small family on a low income with one working parent and a disabled child. They are struggling with the cost of living crisis. They operate the flat via a letting agency which the owner pays 10% for.

They decided to let the flat to disabled tenants on disability benefits out of kindness. The tenants don't know anything about the owner and likely assume it's a rich person. As many won't touch any on benefits. They have really reasonable rent for the area, have had many adjustments made to the flat for their disabilities at the owner expense. Owner has paid for lots of work to be done and hasn't rejected any of their requests.

The past 9 months the tenants clearly know their rights and have been withholding rent for a certain period of time, only paying as little as £100 etc. They are in arrears. Action letters have been sent via letting agency.
Since the Scottish Government ban on evictions up until March 2023, the tenants have been worse. Ignoring the letting agency etc when they are asking for the rent.

Tenants receive local housing allowance/housing benefit. But clearly are refusing to pay rent with this. They also receive PIP and ESA.

Landlord/owner took a look on the tenants social media and has found they've got a business set up from home and have been showing off all their new equipment which must have cost a lot. Advertising to private message for prices etc. They've clearly not declared to dwp they are working or operating a business nor have they let the landlord know. Which puts them in breach of contract.They have also been boasting off and showing pictures of trips away that they've been having. They have more animals than they should. Clearly, they aren't struggling as much as they have been making out.

As a result of this, the owner/landlord and their family are struggling as they used the rent money as income. They are now wanting the tenants evicted and want to sell the flat. Letting agency have said they can't due to the eviction ban.

What are the legalities of this with the ban on evictions in place? Given they are also in breach of contract?

[Wylderose]

Good evening Goldie

Firstly, I will say that you appear to know an awful lot about the tenant's finances, business and social life. I won't ask where you got your information.

If the tenants have been withholding rent for so long, the landlord should have not been a "nice guy" and should have taken action before now to enforce the conditions of the tenancy. Unfortunately, the delay in taking action means that he/she will now be caught up in the winter freeze on evictions.

However, If the tenants are in arrears, then the landlord can request that the payments for rent be made to him.

The landlord cannot write or telephone the council and ask if benefits are in payment because they will be denied that information on the basis of breach of DPA and GDPR. But he/she needs to write to the Benefits Manager, stating that he/she believes that xxx is in receipt of housing benefit and requesting that the rent is paid directly to him/her on the basis of the tenant being in excess of 8 weeks arrears. If he/she provides evidence of a valid tenancy agreement and a rent statement showing the rent charged, payments and the arrears balance, then the council has a duty to make the payments to the landlord and is bound to do so by the Housing Benefit Regulations. Best case scenario is that rent payments will be paid to the landlord, worst case scenario is that he/she will be advised that no benefits are in payment. In that case you start all over with Universal Credit.

As for the business angle. If this is against the tenancy and you are sure that they have not declared their income, then report them to DWP for fraud. You are able to do this anonymously.

I don't know the legalities of Scottish evictions, but there may be someone on this site that does know and can advise.

[Nostrus]

ScottishSolicitor might be able to assist more with this one. You will have to go through the courts in order to get them evicted, even though you own the property. Realistically this is the point you're going to want to get a solicitor involved as it is clear that you're going to have to get them removed. I can speak to the actual process of how that is done, but getting to that point wasn't really in my wheelhouse.