Trade union GMB has named and shamed private landlords who have “abused” housing benefit.
The union has also hit out at the Tories’ election pledge to extend Right to Buy to housing association tenants.
It said that over 40% of former council housing has ended up in the hands of buy-to-let landlords.
It points to blocks in Wandsworth where out of 15,874 homes 6,180 are now owned by 977 private landlords, one of whom owns 93 properties, and another owns 32.
GMB said that £9,296m of housing benefit was paid to private landlords in the last financial year, with one landlord being paid over £3.2m.
According to GMB, there are approximately 4.2m households living in private rented accommodation. The rent to landlords in 1.59m or 38% of them is paid in part or in full by taxpayers.
Through Freedom of Information requests, GMB has drawn up a list of 20 private landlords ranked by the amount of housing benefit they were paid direct by councils last year.
The list is topped by private landlord Mohammed Taj, who was paid £3,219,858 of taxpayers’ money direct as housing benefits by Watford.
The full list is below.
Paul Kenny, GMB General Secretary, said: “This research lifts the lid on the mainly secret payments to landlords who are the real winners from Britain’s welfare system.
“We see taxpayers’ cash subsidising buy-to-let empires with £9bn of hard earned taxpayers’ cash paid into private landlords’ bank accounts – much of it ending up in tax havens.
“The abuse of housing benefit by private landlords has gone on for too long.
“Millionaires take sackloads of cash for exploiting those in housing need or stuck on low pay. It’s incredible that the Tories want to extend this billion pound rip-off.”
| National | Landlord | Amount |
| Watford | Taj, Mr Mohammed | £3,219,858 |
| Merton; Brent; Lambeth; Hammersmith and Fulham; Ealing; Wandsworth | Investing Solutions Ltd | £2,239,915 |
| Castle Point | Thorney Bay Park Ltd. | £1,924,226 |
| Ealing; Hammersmith and Fulham; Hounslow | Kerr, Mr Alastair | £1,616,951 |
| Stevenage | Gerrett, Mr Paul | £1,510,156 |
| Glasgow City | Bellgrove Hotel | £1,508,813 |
| Brent | Mr W McGowan Property | £1,055,517 |
| Braintree; Cardiff; Central Bedfordshire; Dudley; Epsom and Ewell; Halton; Hart; Kings Lynn and West Norfolk;New Forest; Rugby; South Cambridgeshire; South Gloucestershire; St Albans; Stratford; Thurrock;
Vale of White Horse; Welwyn Hatfield; West Berkshire; Worcester; Wychavon |
ADA Glossop / Glossop Caravans | £874,925 |
| Haringey | Woodland Estates (Mr Andrew Charalambous) | £826,395 |
| Haringey | Parmar, Mr H | £733,031 |
| Leeds | R D Willis Developments | £725,816 |
| Watford | Lambe, Mr Sean | £626,096 |
| Nottingham, Erewash, Mansfield, Rushcliffe, Ashfield | Fields, Mr Roger C | £619,268 |
| Bedford | Fhalora, Mr Serwan | £530,779 |
| Southend-on-Sea | Dixon, Mr Stephen William | £509,134 |
| Blackpool | Hackett, Simon | £486,122 |
| Braintree | Bridge, Mr | £468,923 |
| Medway | HRH Estates | £463,213 |
| Blackburn with Darwen | Yaseen, Chaudrey Mohammed | £454,635 |
| Thanet | Appleton, Mrs Rosemary | £441.282 |
Comments (7)
Don’t forget many local authorities of all political persuasions were happy to off load council owned housing as it suited them for a number of reasons.
He should also name and shame tenants who “abuse” housing benefit!
And what about the benefits tenants who are subletting or forming HMO with their accommodation, there was one a while back who earnt something like £90,000 that way.
Well when Union bosses are paid more (over three times in case of the late Bob Crow) than the people we expect to run the country you have to expect this ill veiled hatred. Especially when reported that Mr Crow was still in a council house when earning 300k? The simple point is that for the last 30 years there has been a selling off of social housing and no building to replace which is the fault of all parties. Maybe time for some cross party politics to solve these issues as with an increasing population will only get worse. The left don’t seem to realise that if there is no value in an investment people won’t do it, and without the PRS there are not enough caravans on earth to cover the shortfall.
Not to mention why is someone who is paid by the state rather than privately a rip off merchant. Maybe the leader of unions and political parties need to be of better quality and understand what the talk about.
PS why is so much benefit cash so obviously being spent on caravan, hotel and bed & breakfast accommodation? Isn’t the greater wrong the type of accommodation people are expected to call home? Wouldn’t that have been a more effective but less obvious swipe at the Tories or could that all too easily be pinned equally to the Labour party?
If Mr Kenny wants to play hard ball just ahead of the election with an obvious swipe at those who have invested and are providing accommodation for a sector where there is by implication failure by successive administrations, lets do it!
Did Paul Kenny think to extend his freedom of information request to those who aren’t in receipt of comparatively large wads of benefit income but those who are in government and in receipt of HB or LHA on properties they own; MP’s, civil servants and the like?
Perhaps if there is going to be a full and open debate let’s air everyone’s dirty laundry, their connections and their vested interests, let’s get every establishment wrong doing and embarrassment up on the kitchen table and let’s get this sorted out.
We could start with finding out exactly which experts were consulted on shaping the housing policies of each of the parties. That won’t be something Miliband will be keen on will it?
How many GMB members do or have owned rental properties in the past 20 years and how many have submitted SA105 land and property tax returns covering the rental income? Please note Mr Kenny even though aPAYE landlord has not been ask to fill in a self assessment tax return by HMRC that does not discharge their obligation to do so.
The numbers might be big for the named landlords on this list but they will be paying tax on the income and putting it back into the system, lets make sure everyone else is and has- The limitation period for tax evasion is long, the punishment harsh but the embarrassment even greater. As I said Mr Kenny let’s do this!!!
“Shock, Horror. Landlords paid rent for providing homes for people to live in.” Outrageous say union.
Surely not all of these landlords are “rip-off merchants”. Is the union expecting them to provide homes for free ?