Blatant discrimination against tenants on housing benefit is being replaced by more subtle bias in rental adverts, Shelter has claimed.

Where ‘No DSS’ has disappeared, terms such as “working households preferred” and “professional tenants only” are appearing instead.

Writing in social housing publication Inside Housing, Shelter’s director of communications Greg Beales said that the campaign against ‘No DSS’ adverts will continue.

He said: “Our services are also hearing about the more ridiculous demands placed on prospective tenants simply because they receive housing benefit – including asking for a huge amount of rent upfront or proof of thousands of pounds in savings.

“The irony here is that if you had thousands of pounds in savings, it would make you ineligible for housing benefit in the first place.

“This sort of discriminatory behaviour shows precisely why we must not give up.

“So, what’s next for ‘No DSS’?

“We want the rest of the lettings industry to follow in the footsteps of the letting agents, landlords and mortgage providers who have already started putting an end to such discrimination.

“As the campaign continues to grow, we hope that ‘No DSS’ will soon find it is as unwelcome as past forms of discrimination.”

Beales said that there are plenty of housing benefit tenants who can afford their rent, pay on time and take care of the properties they live in: “But sadly a lot of prejudice still exists.”

He said: “Almost a third of people receiving housing benefit have been locked out of renting a home because of ‘no DSS’ discrimination in the past five years.

“At Shelter, there is no doubt in our minds that this is not only grossly unfair, in most cases it is also likely to be unlawful under the Equality Act – meaning estate agents and landlords are breaking the law.

“That’s because it overwhelmingly impacts women and people with disabilities – groups more likely to need help with their rent, who the Equality Act protects against this kind of discrimination.

“For over a year we’ve been working hard to stamp out ‘no DSS’ across the entire lettings industry. This is from landlords and letting agents, to property portals and mortgage lenders – and with the help of thousands of activists around the country, change is coming thick and fast.”

Beales picked out property portals Zoopla and Rightmove for removing ‘No DSS” phrases from adverts; buy-to-let lenders who had removed restrictions; and the Competition and Markets Authority which has recently clarified that there is no excuse for a blanket ban on people receiving housing benefit.

He also cited a landlord who stood up for a tenant on housing benefits and her right to remain in situ.

However, he said: “Our fight for fairness is far from over.”