A shocking new report reveals that around 50,000 social housing properties in London are being misused, with many illegally sublet on platforms like Airbnb, London’s Evening Standard reports.
The study, conducted by the Tenancy Fraud Forum (TFF), warns that councils and housing associations are failing to combat social housing fraud, costing taxpayers an estimated £1bn annually.
Detection rates for illegal subletting have dropped by more than 40% in the past decade, with researchers linking the decline to government funding cuts that have reduced the number of fraud investigators.
This fraudulent activity forces authorities to find additional housing for those in need while scammers profit from subletting homes they do not legally occupy.
TENANCY FRAUD

Alan Bryce, the report’s author, says: “There are nearly 50,000 tenancy frauds in London. Addressing this issue is faster and more cost-effective than building new homes for the 70,000 families in temporary accommodation or the 300,000 on waiting lists.”
He called on the Regulator of Social Housing to take the lead in tackling the problem.
Short-term rental platforms are a key part of the issue, with the report urging companies like Airbnb to enforce stricter controls.
INFORMATION SHARING
Bryce suggested measures such as information-sharing to help recover fraudulently used properties.
An Airbnb spokesperson says: “Hosting in social housing is often illegal and has no place on Airbnb. We have a fast-track system for local authorities to report social housing fraud, and we remove these listings swiftly.”
London has around 800,000 social homes, evenly split between council and housing association ownership.