Deposit protection scheme
From 6 April 2007, all deposits (for rent up to £25,000 per annum) taken by landlords and agents for assured shorthold tenancies in England and Wales have had to be protected by an authorised tenancy deposit scheme. At the beginning of a new tenancy, the tenant pays the deposit to the landlord or agent as usual, who must ensure it is protected.
The Government wants to make sure tenants’ deposits are protected so that:
- tenants get all or part of their money back, when they are entitled to it
- any dispute between tenants and landlords or agents will be easier to resolve
- tenants are encouraged to look after the property they are renting
For more information, please see the Gov.uk advice on tenancy deposits.