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Graham Awards


Government cuts tenant deposit cap from six weeks to five weeks

The government has this afternoon confirmed that the amount tenants have to pay up front to secure a home will be cut from six weeks’ rent to five for annual rentals of under £50,000.

A deposit of six weeks’ rent will continue to apply where the annual rent is £50,000 or more.

The move, announced as part of the Tenant Fees Bill, was anticipated by landlord groups yesterday. Both the National Landlords Association and the Residential Landlords Association have spoken out against the cut from six weeks' rent to five.


Communities Secretary Rt Hon James Brokenshire MP says: “Today’s amendments will make renting a home of your own more affordable, fairer and more transparent – enabling tenants to keep more of their cash and stopping unexpected costs.

“Everyone deserves a home to call their own. Yet for some renters, moving to a new house can be difficult due to high upfront costs and letting fees.

“This is unacceptable. I want to see a housing market that truly works for everyone, and one which provides a better deal for renters.”


Other amendments to the Bill include protecting tenants from fees by limiting the type of default fees that can be charged by landlords and property agents.

This change means that during the tenancy landlords and agents will only be able to charge fees to replace lost keys or for late rent. Landlords will still be able to claim back costs for damage through the tenancy deposit at the end of the tenancy.

This afternoon's announcement continues: "However, landlords and agents will not be able to write lots of different default fees into a tenancy contract and tenants cannot be charged hundreds of pounds for a damaged item that actually only costs a few pounds to replace."

  • icon

    No problem. Will put rents up to compensate for rent arrears, damages, and exclude DSS.

  • Neil Moores

    Does anyone know the situation if one of a couple or one of a group wants to leave and be replaced? As agents we charge a fee for this extra work. If we aren't allowed in future we will have to refuse requests to allow such contract changes as they involve a lot of work which we do not intend to do for free.
    Our landlords will probably refuse pets when the new deposit restrictions come in because there can be quite a few extra costs in such circumstances and there is not a lot of leeway when the deposit is capped at a month plus a few days.

  • SCN Lettings

    On a SPT if one tenant gives notice then it ends the tenancy for all of them. So its a new tenancy. But you can't charge the tenant. So the landlord pays. And puts the rent up. What a great system the government has created.

  • icon

    yes clown government,will make renting more affordable??????????????NOT !
    Yet more clown government pushing rents up ! Jesus wept !!!!!!!!!!!!!!

  • icon

    All this clown government do, just proves how thick they are.
    Everyone of these acts/changes is a RENT INCREASE
    Come clean government and tell the truth to tenants,tell them you are increasing rents again !!!!!!!!!!!!!!!!!
    Stop bashing Landlords.!!!!!

  • Fake Agent

    I see this has gone down well!

  • Barry X

    It just goes to show how totally out of touch they are and/or how keen they are to drive us out of business and have their friends running larger "social housing" organisations mop-up our properties cheaply when prices fall significantly - but still way out of reach of the fools who believe their dear, trusted friends in government were doing all this for them!

    not to worry though - there are always numerous ways round everything and all that's happened really is we've been given yet more blinking "red tape", complexity and worry by our worthless, pathetic government (who couldn't manage a Brexit negotiation if you handed them one on a plate, except having said that those crooks never had any intention of negotiating it anyhow - just an excuse to please their mates in the EU with even more concessions and a worse and worse mess for us).

    Some thoughts..... perhaps take a 5 week "rent deposit" and charge up front £150 for cleaning at the end of the tenancy, and so on..... it will come out the same in the end.

    The problem with elections is that whoever you vote for some idiot politician gets the job!

  • Andrew Hill

    That's a shame. I wonder if we will have to give back a week's deposit to already tenanted properties?

    If so, I'll be sending out letters informing of a rent increase for all properties on our books. If not then there'll be a rent increase on all new tenancies going forward.

    It's unfortunate as this means tenants will be paying more than they have to but the landlord's interests must be protected.

  • icon

    Some of you are making it abundantly clear why the government are putting in place what they are.... "Rent increase", "Rent Increase", oh, and again, "Rent Increase"! ! Time's are changing and the industry is being cleared up, why is no one focused on the fact that this is going to get rid of those mickey mouse letting agencies & give the lettings industry a better name?! Or is it all about the money in your pocket as opposed to the service your providing to both tenants & landlords??

  • icon

    No its not, our property, our earnerings purchased or went towards the purchase!! Tenants and council and shelter bods need to understand this.
    Take ,,£350 "for Cleaning" refundable if property left as it was when moved in,Clean. In addition to an amount of 1st months rent as a deposit, Rent does not have to go up, as it will do if Rates go up,Service Charge goes up, maintence costs go up. This is a business, to make a profit so that upkeep and repairs can be covered. Simple.

  • S l
    • S l
    • 05 December 2018 11:49 AM

    Well said steve. Here 4 bed house costs at least £400 end of tenancy cleaning most not includes over n fridge freezer. Then there is the issue of rent arrears n damages. I recently got a quote of £680 just to take a door out n build studwall n plaster over it as that room got 2 doors at request of hmo office to have door on other side of room open to hallway instead of sitting room. Now new person wants that other door as a wall or fire door after 3 years


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