DH being taken advantage of by brother

Hithere

The purpose, the execution of the plan..... set up to fail from the very beginning

This explains well. Salty language alert, because - picture from salty brother.

🤣🤣🤣. How true!

If the Council had a very elderly tenant on a low income wanting to buy her council house, and [resumably payimg cash.

Don't they have a responsibility here for not having done due diligence and enquired where the purchase money was coming from and whether a child was providing it.

They are quick enough to demand their pound of flesh when assessing an elderly persons, pension and assets when assessing them for contributions towards their care.

Let’s be honest about this. It was never really to do with giving mother in law peace of mind but an opportunity to make a good investment and unethically take advantage of the sloppy right to buy process. A ready made tenant was supposed to be a bonus.

I’m really not sure why OP seems upset about brother in law not paying rent for 8 years. Presumably much of that time he was living with mother in law in a property legally owned by her and if she didn’t expect him to pay rent I’m not sure why you should. Unless it’s because you regard it as being your house since the day your money bought it.

It was a contrived purchase to benefit you and your husband and any tenancy with your brother in law as tenant is very likely to be seen by The benefits people as a contrived tenancy. Which is what it is.

I once had a close relation as a tenant and I had to jump through many fiery hoops to convince the council (in housing benefit days) that it was a proper tenancy and not a contrived one. And the background to my story was nothing like yours.

This probably sounds harsh but I find it hard to have sympathy for avarice gone wrong. Your brother in law wouldn’t have been made homeless had the house still been owned by the council when mother in law died as he would have been rehoused in an appropriately sized property. Since the bedroom tax penalty was introduced it is very hard indeed for anyone dependent on benefit help with rent to afford any property with any spare bedrooms. Perhaps this is why the nephew is making an appearance.

I am very concerned that you have told him he can live there as long as he wants. I think he has a contract and you have very few options.
Suggest you see a solicitor to see if you have any at all.
I don't think he will get rent from the universal credit system as the house is owned by a close relative.

I'm not going to add much to what has already been said other than I am not sure what the OP is compaining about. They agreed to let BiL and his wife live in the house rent free as her carers until MiL died and then to pay £400 pm thereafter which he is doing.

M0nica's comment reminded me of this 2016 radio programme Whose Right to Buy Is It Anyway?

www.bbc.co.uk/sounds/play/b07gfjhr

Simon Cox goes on the trail of the fraudsters and the companies seeking to make big bucks out of right to buy. He discovers people trying to buy homes they're not entitled to and criminals attempting to launder drugs money.

He investigates companies who offer tenants help to buy their home in order to get their hands on valuable properties.

Ex wife of a friend of mine openly stated a few weeks ago she was trying to get a council tenancy for her daughter on the flat underneath one she already owns (sold to her by the previous owner who was originally a council tenant) to enable her buy it after the mandatory 'waiting' period. And then rent it out privately for a much larger rent. Unscrupulous.

Both the properties DD has owned were/are ex council properties. However each was bought on the open market and she sold one to buy the other. She paid the full market price for both.