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DPS warns agents: two months before new law

The Deposit Protection Service says agents and landlords must act soon over older tenancy deposits now that new legislation has introduced a deadline for their protection.

Following the Deregulation Act, which passed into law at the end of March, agents and landlords have until June 23 to protect deposits that were taken before April 6 2007 and which they are still holding for periodic tenancies agreed on or after that date.

Periodic tenancies are those which continue on a period-by-period basis once the term specified in the original agreement has passed.


The Act has also clarified the uncertainty created by a June 2013 decision by the Court of Appeal in the Superstrike v Rodrigues case over the need for landlords to provide ‘prescribed information’ upon every renewal or the tenancy becoming periodic. 

The Act states that if the prescribed information has been validly given in relation to an initial tenancy, it does not need to be given again in respect of replacement tenancies, except where circumstances or details change.


Prescribed information is the information that a landlord must by law make available to the tenant about the deposit protection scheme protecting their deposit and other specific details about the deposit and tenancy.

“The DPS welcomes these changes, which provides much needed clarity over the protection of older deposits. It brings an end to confusion over the management of deposits taken before the legislation came into force that have been retained by landlords past their original tenancy period” says DPS managing director Julian Foster. 


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