using technology and innovation to your advantage in reducing tenancy and right to buy fraud rates

Using Technology and Innovation to your Advantage in Reducing Tenancy and Right

To Buy Fraud Rates

Andrew Jeffries,Tenancy Fraud Manager,

Peabody Housing Association

Using Technology and Innovation to your Advantage in Reducing Tenancy and Right To Buy Fraud Rates

Andrew Jeffries Tenancy Fraud Manager

About Peabody

•We were founded in 1862 by the American banker, George Peabody, and are based solely in London.

•Our first estate was built in Spitalfields.

•We own and manage more than 27,000 homes across the capital with more than 80,000 residents.

Housing Associations and tenancy fraud

•Why ?

•How?

Peabody approach

•Now ?•Fraud Specialist

•Fraud Training

•NAFN

•Partnership Working.

•Tenancy Amnesty

Data matching technology to identify anomalies and targeted investigations

• Data Matching

• First steps

• Targeted Data matching

Benefits of this approach

• Better use of resources

• Increased recovery rate – over 300 properties in 3 years

• Increase rental income on re-let properties over £300,000

Applying greater verification checks to help prevent and deter fraudulent applications

•All prospective tenants are credit checked.

•Improved application and Nomination forms

•New succession /assignment application forms.

•Incorporated photographs of all new tenants into Tenancy registration forms.

Steps taken to tackle potential fraudulent Right To Buy applications

• Currently only 646 of Peabody 27000 stock is eligible for RTB

•In Last year Peabody have received 56 RTB

•All applications checked.

•In last two years we have identified & stopped six fraudulent RTB applications.

Right To Buy – Changes in legislation• Currently 646 Peabody tenants are eligible for the Preserved

Right to Buy

• Under the new legislation this will increase to 15660

• Inside Housing research show an average of 5.7% of housing association tenants registered an interest in buying their homes.

• If accurate this would mean Peabody receiving close to 900 RTB applications a year.

How to utilise the Prevention of Social Housing Fraud Act

•Vital to build working relationships with partners in local authorities.

•Fraud Act.

Benefits of using the Prevention of Social Housing Fraud Act

•Huge deterrent effect. The possibility of clawing back illegal profits made from subletting.

•Peabody has brought four Criminal prosecutions for tenancy fraud.

•Results – In One Case with Lambeth Council we prosecuted a tenant for a 10 year sublet which resulted in a guilty plea and the tenant receiving one year Prison sentence suspended for 18 months and property recovered

•Case 2 Lambeth Council. Criminal charges brought against another tenant for a 10 year sub-let was disposed off by way of a settlement with the tenant paying Peabody £75,000 and property recovered.

Any Questions?

Question and Answers Session

Panel – Ensuring Strategies are in Place to Combat and Prevent New Emerging

Frauds to Local CouncilsMark Astley,

Head of Service at NAFN Data & Intelligence Services,

National Anti-Fraud Network

Kevin Campbell-Scott,Fraud Manager, Chair,

Southwark Council, London Borough’s Fraud Investigators Group Alan Bryce,

Chair,The European Institute for Combatting

Corruption And FraudArjun Medhi,

Deputy Head of Counter Fraud Centre,CIPFA

Clair Green,Assurance Assistance Director,

London Borough’s Fraud Investigators Group

Close of Conference and Drinks Reception