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A credit information group and two social housing management companies have linked up to provide a pioneering service aimed at tackling social housing tenancy fraud and bring the standard of checks closer to those operating in the private rented sector.

Shropshire Towns and Rural Housing, an ALMO managing 4,200 social homes owned by Shropshire council, and Derby Homes, another arms-length management organisation handling 13,800 social homes owned by Derby City Council, are employing Coactiva to investigate individuals suspected of subletting their home, providing false information at the point of application or not using their social housing address as their main place of residence.

Coactiva's electronic checks provide instant access to verify identities, trace debtors and assess personal financial circumstances. The firm claims to provide data not available elsewhere.

The government claims at least 100,000 social housing units are the subject of fraud, and has introduced the Prevention of Social Housing Fraud Act and made £9.5m available to RSLs to combat the problem. The new legislation allows local authorities the power to prosecute those who unlawfully sublet social housing.

The Housing Act has also been amended so that where an assured tenant sublets the property, they lose status as lifetime assured tenants for good.

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