Lodgers not paying

ElephantBoy57

Yaroslava said:

I’m now wondering what my next step should be.

You need to move back in, straight away. You cannot afford not to. You are a rogue

landlord!

Until April last year, councils only had the power to impose a civil penalty (that’s a fine without having to take the landlord to court) of up to £5,000, and the average fine was only around £1,500 – not much of a deterrent for the rogues1.

However, in April 2017, the maximum civil penalty in England was given a huge raise to £30,000

https://www.your-move.co.uk/blog/what-are-the-penalties-for-landlords-who-break-the-law

Comms69

ElephantBoy57 said:

Yaroslava said:

I’m now wondering what my next step should be.

You need to move back in, straight away. You cannot afford not to. You are a rouge landlord!

Until April last year, councils only had the power to impose a civil penalty (that’s a fine without having to take the landlord to court) of up to £5,000, and the average fine was only around £1,500 – not much of a deterrent for the rogues1.

However, in April 2017, the maximum civil penalty in England was given a huge raise to £30,000

https://www.your-move.co.uk/blog/what-are-the-penalties-for-landlords-who-break-the-law

Moving back in wouldnt be advisable. The OP could be considered to be circumventing the law and criminally liable for illegal eviction (or attempted illegal eviction)

ElephantBoy57

Comms69 said:

Moving back in wouldnt be advisable. The OP could be considered to be circumventing the law and criminally liable for illegal eviction (or attempted illegal eviction)

She could face thousands in fines whichever path she takes. At the moment nothing has been brought to the attention of the authorities.

macman

How exactly is the OP going to move back in to a tenanted property which appears to have only 2 bedrooms, and both are already let? Even if they could reside there, I'm fairly sure that the legal tenancies already created would not revert to lodger status upon the LL taking up residence. That would probably require another lengthy legal dispute. Probably not what the OP needs just at the moment.
There are only 2 options available: 1) regularise, serve an S8 and wait. If tenants pay up, serve an S21 and wait. 
2) buy them out as already suggested.
It all depends how keen the OP is to regain possession.

Comms69

ElephantBoy57 said:

Comms69 said:

Moving back in wouldnt be advisable. The OP could be considered to be circumventing the law and criminally liable for illegal eviction (or attempted illegal eviction)

She could face thousands in fines whichever path she takes. At the moment nothing has been brought to the attention of the authorities.

He faces a night in the cells and another civil claim following youre advice though. 

(also assumed 'he', based upon the name, but ye)

Yaroslava

Thank you for all input so far. To clarify, the house is in England. 
There is a box room with a spare bed which was agreed was still mine and I would be staying in when I returned to the UK. I do have a key so (with notice obviosuly) could move back in.  All my possessions are still in the house, my being away was only temporary, I didn't have a permanent address else where, which is why I considered them to be lodgers rather than tenants. 
At the moment, I'm not trying to evict them, more interested in whether I have any grounds to enforce rent payment. I think if I returned they would quite quickly want to move out (which would be fine), but until I have work in the area I can't really afford to be there. 
I do realise I should have done things differently, and if I could go back and do things differently I would, but I can't. In my defense, I did things this way to keep costs down for the lodgers as much as myself - if I'd been paying tax I would have had to increase the rent in order to be able to cover costs. My research had also suggested that as as well as the tax-free amount you're allowed from a lodger, you can claim upkeep expenses tax-free. As I said, I've done a lot to the house, which definitely elimates anything that might be considered 'profit'.  

Comms69

Yaroslava said:

Thank you for all input so far. To clarify, the house is in England. 
There is a box room with a spare bed which was agreed was still mine and I would be staying in when I returned to the UK. I do have a key so (with notice obviosuly) could move back in.  All my possessions are still in the house, my being away was only temporary, I didn't have a permanent address else where, which is why I considered them to be lodgers rather than tenants. 
At the moment, I'm not trying to evict them, more interested in whether I have any grounds to enforce rent payment. I think if I returned they would quite quickly want to move out (which would be fine), but until I have work in the area I can't really afford to be there. 
I do realise I should have done things differently, and if I could go back and do things differently I would, but I can't. In my defense, I did things this way to keep costs down for the lodgers as much as myself - if I'd been paying tax I would have had to increase the rent in order to be able to cover costs. My research had also suggested that as as well as the tax-free amount you're allowed from a lodger, you can claim upkeep expenses tax-free. As I said, I've done a lot to the house, which definitely elimates anything that might be considered 'profit'.  

You aren't actually reading what people say are you?

You will not have a house after this is done because the council, HMRC and the tenants will all take a huge cut from it. You have broken, by the sounds of it, every single possible law and regulation. 

You might think it's not a big deal, - but here's a thread for you...https://forums.moneysavingexpert.com/discussion/comment/76928916#Comment_76928916

[Deleted User]

Can you dip into your savings or sell your iPhone?

You took on this risk when you decided to own residential property. No one could have foreseen COVID-19 but tenants not paying is not that uncommon for a variety of reasons. What was your contingency plan?

Wkmg

Sorry but I don’t think being physically present is a requirement to be considered to reside somewhere. Going away for a weekend wouldn’t be a problem. Going away for a fortnight wouldn’t be. What about a few weeks, a few months? There is obviously some grey here. If you had no other address, had all your possessions in the home and maintained a box room as yours I think you could argue that it remained your home if you were away travelling with no other address. Get proper advice from a lawyer, op. They will tell you if you could reasonably claim it as your home. 

Wkmg

Were you still on the council tax? Registered with a GP? On the electoral register?