Croydon Council has recovered 36 homes through investigations over the past year, freeing up much-needed housing and saving an estimated £2.8 million.
With more than 8,600 households currently on the waiting list and only around 800 social homes becoming available each year, the crackdown is seen as a vital step in addressing housing shortages.
The recovered properties result from 141 tenancy investigations carried out during the past 12 months.
Jason Perry, executive mayor of Croydon, said: “Like other councils, Croydon has a shortage of council homes and thousands of households waiting for a safe, secure place to live.
“We cannot allow anyone to take advantage of the system or keep a home they are not entitled to.
“As in many areas of Council business we are taking a zero-tolerance approach to the issue of housing fraud.
“Every home that is fraudulently held is one taken away from someone who genuinely needs support.
“We will continue to act on every case of tenancy fraud.
“If you try to cheat the system, we will take action.”
Tenancy fraud takes several forms, including subletting, false applications, illegal succession claims, and cases where the tenant is living elsewhere for an extended period.
Even if a case does not meet the threshold for fraud, properties can still be recovered and re-let.
The council’s investigations are handled by the Counter Fraud Shared Service, which operates in partnership with Lambeth Council to pool resources and expertise.
According to government estimates, each recovered council home in London is valued at £78,300 in savings.
Recent investigations show the range of cases officers have dealt with.
In one instance, a tenant was reported to have moved out two years earlier, leaving her adult daughter in the property.
Unannounced visits confirmed the tenant was living elsewhere in a privately owned home.
She eventually surrendered the council flat, which has since been re-let to a family on the waiting list.
In another case, officers reclaimed a long-abandoned property after neighbours said they had not seen the tenant for several months.
The home was found to be empty, and the tenant was residing elsewhere.
The council recovered the property and re-let it.
A third investigation began when government data revealed that a long-term Croydon tenant had purchased a £650,000 property while still holding her council tenancy.
Officers confirmed she had a joint mortgage on the new home, where her husband confirmed both were living.
The tenant admitted she had moved out, and the council property was now only being used occasionally by her adult daughter.
This home has now been recovered.
Resident reports have played a key role in uncovering cases of fraud.
Six cases reported by residents are currently under investigation, and four have been completed and passed to the Council’s housing and legal teams for further action.
In some cases, the courts are now involved to return properties to the Council so they can be offered to people who genuinely need them.
Residents can report any concerns about tenancy fraud using this online form.
