Sandwell Council foils £750k right-to-buy fraud during tenant rush
Council stops £750k right-to-buy fraud attempt

Criminals attempted to defraud a West Midlands council of approximately three-quarters of a million pounds, exploiting a surge in tenants seeking to purchase their homes under the Right to Buy scheme.

Stampede for Discounts Precedes Deadline

The attempted fraud occurred against a backdrop of a significant increase in applications. This surge was triggered by an announcement made last year that the discount available to council tenants buying their properties would be reduced.

As tenants rushed to submit their applications before the deadline, Sandwell Council's housing and counter-fraud teams identified and halted ten suspicious applications. The combined value of these blocked purchases was around £750,000.

Council Recovers Properties and Funds

The council's vigilant response had a direct impact on the local housing stock. As a result of the investigations, several council properties were recovered. These homes have now been returned to the pool and made available once more to families on the housing waiting list.

Furthermore, the probes uncovered related financial discrepancies. Investigations identified overpayments on benefits and Council Tax, enabling the authority to recover additional public money.

A Firm Stance Against System Abuse

Councillor Vicki Smith, the council's housing boss, praised the effort. She stated, “This is an excellent example of teamwork and vigilance across our housing and counter-fraud services.”

She acknowledged the pressure the application surge placed on staff but highlighted their professionalism. “The surge in right-to-buy applications put real pressure on our teams, but their professionalism and attention to detail have ensured that public money and vital housing stock are protected for Sandwell residents.”

Councillor Smith also issued a clear warning, adding, “We want to reassure residents that, while we support those who are eligible to buy their homes, we will continue to take a firm stance against anyone attempting to abuse the system.”