A £4.1bn fraud risk facing the UK rental sector

New analysis from Goodlord suggests fraudulent tenancy applications may be costing the UK's private rental sector up to £4.1 billion each year.

The research found:

✅ 41 suspected fraudulent applications per 1,000 tenancy references

✅ A nearly 40% increase in suspected fraud during 2025 compared with the previous year

✅ An estimated average direct loss of £9,601 per fraudulent tenancy

✅ London, the West Midlands and the North West identified as fraud hotspots

Fraudsters are increasingly using fake identities, fabricated employers and false references to secure rental properties, with AI making deception easier than ever.

A reminder that effective fraud prevention requires layered controls, independent verification, and regular reviews of detection methods as criminal tactics evolve.

Fraud is adapting. Our controls must too.

https://www.ftadviser.com/content/77f959b9-1b48-4fee-b258-a385bd9254ee