Council tenants who sublet their homes face prosecution.

[super jumbe]

Council tenants who sublet their homes to rake in thousands of pounds face prosecution and possible prison terms in a New Year blitz on abuse of social housing.

High earners could also be forced to pay the market rate for continuing to live in their council homes.

Housing minister Grant Shapps told the Sunday Telegraph it was a "scandal" that abuse of the council and housing association sectors was costing taxpayers between ?5 billion and ?10 billion a year.

The coalition is expected to launch new consultations ahead of legislation. Any money saved would go towards building new social housing.

It is not currently an offence to sublet a council house - a loophole that allows an estimated 160,000 tenants to move out and take rent from someone else.

Ministers are also set to give local authorities powers to make wealthy council tenants pay much closer to the market rate. If they refuse, they face eviction.

Last year, Government officials estimated there were up to 6,000 people in social housing who had incomes of more than ?100,000.

Around 1.8 million families are on council house waiting lists. In England and Wales, around eight million people live in four million council or housing association homes.

Mr Shapps said: "Why should someone on a six-figure income enjoy a fantastically subsidised rent, while those in real need languish on the waiting list?

"And why is it so easy to get away with subletting your council house at market rent and pocketing up to a ?1,000 a week at taxpayers' expense?"

[gc1966]

this makes absolutely perfect sense

are we sure this government thought it up???????

[GastonJ]

[IMG]
"And why is it so easy to get away with subletting your council house at market rent and pocketing up to a ?1,000 a week at taxpayers' expense?"

Well unless they're renting it out for more money to pay the rent they are paying to live somewhere else it does seem a bit stupid. On the other hand when the people who are subletting them are evicted it will make them homeless as well - well thought out idea....

[bobwill]

as the person who is renting from the council tenant is paying a high rent he will have no trouble finding somewhere else to rent and the council will then be able to house a homeless family, or would you like to keep things as they are

[Snowy79]

The biggest issue I used to find when I did warrants was going into a property that was meant to be occupied and finding it was unfurnished and just used as a mailing address. In the majority of cases it was due to someone claiming they were single. Then getting a council house and all the benefits then moving in with their partner who was also doing the same thing.

Another thing they were looking at was how many people were living in the properties. Some Council tennants had been living in the same house since they had young kids. In a lot of cases the kids have grown up and moved out leaving 2 adults in 3 or 4 bedroom houses. They could be moved into a one or 2 bedroom property which costs less and frees a family home up for those that need it.