Cryptic crossword clue
Illegal occupant, short and stocky, they’re regularly chasing 8

The most common and most likely answer to this crossword clue is the 8 letter word SQUATTER

I've seen this crossword clue in The Daily Telegraph
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Buddy explains!

The straight part
We know that "Illegal occupant" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case illegal occupant = squatter.
The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.
This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.

What does SQUATTER mean?

SQUATTER noun
  1. One who squats, sits down idly.
  2. One who occupies a building or land without title or permission.
  3. A large-scale grazier and landowner.
  4. A squat toilet.

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