Tenancy Fraud - How to Deal with it?

Letting agents across the UK are contending with two major challenges: a sharp rise in tenancy fraud and increasingly stringent compliance requirements.

In the past year alone, fraudulent rental applications have surged by 140%. Forged documents have become so advanced that they're nearly impossible to detect with the naked eye. Overlooking just one fake application could lead to an unreliable tenant being placed in a landlord’s property.

At the same time, compliance obligations are becoming more demanding. In early 2024, fines for breaches of right to rent regulations jumped by 577%, with penalties reaching as high as £10,000 per occupant—even for first-time violations.

That’s where Identity Document Validation Technology (IDVT), approved by the government, can make a difference. By digitally verifying tenant identities, agents can reduce the burden on their teams while safeguarding the landlords’ investments.

What Is Identity Document Validation Technology (IDVT)?

In the lettings sector, Identity Document Validation Technology (IDVT) is used to digitally verify a tenant’s identity documents—such as passports or driving licences. It also confirms their legal right to rent, solving many of the challenges that come with manual checks. This service is delivered by government-certified Identity Service Providers (IDSPs).

IDVT incorporates a range of advanced digital checks to detect fraud and confirm document authenticity. These include:

• Biometric verification – facial recognition matches a tenant’s face to their ID documents.

• Digital right to rent checks – tenants can complete verification remotely, making the process more convenient.

• Visual analysis and liveness detection – ensures the person being verified is physically present and not using a static image or pre-recorded video.

• Amberhill checks – compares documents against a national police database to flag stolen, lost, or forged IDs.

• NFC (Near Field Communication) scans – uses a mobile device to read the chip in a passport, instantly confirming its validity.

By integrating these technologies, IDVT provides a faster, more secure, and more reliable method of identity verification. It not only supports compliance but also improves the overall experience for tenants.

While IDVT streamlines the verification of tenant documents, letting agents are still required to perform an in-person or virtual Imposter Check to ensure the individual is truly who they claim to be.

At Abacus Homes we now fully integrate the IDVT checks as standard as part of our Tenant Referencing Process, as well as the Tenant sanction checks which became law for any new let in May 2025.