Surge in tenants demanding money again from landlords after Rachel Reeves’ ‘unlawful letting’ scandal… and will Chancellor be a kind of dealing with a giant invoice?
Campaigners have reported a surge in tenants demanding cash back from landlords after Rachel Reeves‘ illegal letting furore.
A charity recommended by the Chancellor’s local council said her failure to get a licence to let her family home after moving to Downing Street had ‘raised awareness’.
Justice for Tenants said calls about rent repayment orders (RROs) had jumped 26 per cent since the Daily Mail revealed the situation on Wednesday night.
Ms Reeves put her four-bedroom detached house in Dulwich on the market for £3,200 a month last year, and her register of interests states she has received rental income since September 2024.
But she did not get a £900 licence to let the property out, despite being apparently notified by two agents that one would be required.
The minister’s husband was assured that the agent would take care of the licence, but Ms Reeves has apologised that the process was not followed up.
Campaigners have reported a surge in tenants demanding cash back from landlords after Rachel Reeves ‘ illegal letting furore
Southwark Council has vowed to crack down on unlicensed letting, with its website advising tenants that Justice for Tenants can help them get money back
The Daily Mail exclusively revealed on Wednesday night that the Chancellor had been renting out her family home (pictured) without a licence since entering Downing Street
Ms Reeves looks set to avoid enforcement measures from Southwark Council as those are typically only deployed if landlords do not act when warned about the lack of a licence.
However, the council’s website advises tenants that they can apply to a Tribunal to recoup rent under a separate process.
It says the ‘rent repayment orders’ can be up to a year of payments, which in Ms Reeves’ case would be around £38,000.
The Chancellor could be liable even though there is no suggestion she did anything wrong as a landlord apart from not getting the licence. There is no indication whether Ms Reeves’ own tenants are considering applying for money to be returned.
People are pointed towards Justice For Tenants for help applying for refunds – which boasts it has a ‘success rate of above 98 per cent’.
If a Tribunal makes an award for repayment, it can be enforced as if it were a debt in the county court.
Justice for Tenants outreach lead Al Mcclenahan told the Telegraph: ‘Our helpline services have seen a significant increase in the number of enquiries from tenants who discovered their landlord is unlicensed following Wednesday’s news about the Chancellor’s own failure to license her property.
‘Now, a lot of these callers have correctly identified that their landlord lacks a licence, but misunderstand the law as their property isn’t covered by licensing rules.
‘However, many concerned tenants do live in areas with additional HMO or Selective Licensing, meaning they could take action against their landlord – and get up to 12 months’ rent repaid.’
Keir Starmer has insisted Ms Reeves will stay in her job after apologising for failing to get a licence
