Tenant Fees Act 2019
The law that bans most upfront letting fees and caps deposits — if a landlord or agent is asking for something outside a short permitted list, it is probably not something you have to pay.
What payments can a landlord or letting agent still legally ask for?
The main permitted payments are rent, a refundable tenancy deposit, a refundable holding deposit, payments for early termination requested by the tenant, a capped charge for changing the tenancy, and payments for utilities, communications, TV licence and Council Tax. Anything else is generally a prohibited payment.
How much can a holding deposit be, and can I get it back?
A holding deposit is capped at one week's rent. It should generally be refunded within 7 days if you are not offered the tenancy, the landlord withdraws, or certain other conditions are met. It can usually only be kept if you provide false or misleading information, fail a right to rent check, or withdraw from the agreement yourself.
What's the maximum tenancy deposit a landlord can ask for?
The cap is five weeks' rent where the total annual rent is under £50,000, or six weeks' rent where the annual rent is £50,000 or more. Any deposit charged above this cap is a prohibited payment and the excess must be returned.
What can I do if I've already paid a prohibited fee?
You can ask the landlord or agent to repay it, and if they refuse, you can apply to the First-tier Tribunal (Property Chamber) to recover the payment. Local authority trading standards teams can also investigate and take enforcement action against landlords and agents who breach the Act.
What happens to a landlord who charges a prohibited fee?
A first breach is usually a civil offence carrying a financial penalty of up to £5,000. A further breach within five years can be treated as a criminal offence, with a financial penalty of up to £30,000 available as an alternative to prosecution, at the enforcement authority's discretion.
Does the Tenant Fees Act 2019 apply to all tenancies?
It applies to assured shorthold tenancies, now assured tenancies, and licences to occupy student accommodation, granted on or after 1 June 2019, along with tenancies that became periodic after that date. Some older, longer fixed-term arrangements from before that date may fall outside its scope.
The short list of what can still be charged
Before June 2019, tenants could be charged a wide range of fees on top of rent and a deposit — referencing fees, admin fees, inventory check-out fees, and more. The Tenant Fees Act 2019 replaced that with a short, closed list: rent, a capped tenancy deposit, a capped holding deposit, payments for changing the tenancy up to £50 (or reasonable costs if higher), payments for ending a tenancy early at the tenant's request, and charges for utilities, communications, television licensing and Council Tax.
Anything outside that list is a prohibited payment, whatever it is called on the invoice. Relabelling a banned fee as an "admin charge" or "processing fee" does not make it lawful.
How the deposit caps work
- Tenancy deposit cap.
- Five weeks' rent where annual rent is under £50,000, or six weeks' rent where it is £50,000 or more.
- Holding deposit cap.
- No more than one week's rent, to be refunded within a set timescale unless a specific permitted reason applies.
- Multiple holding deposits.
- A landlord or agent generally cannot take a new holding deposit for the same property from a different prospective tenant while still holding an earlier one they haven't repaid.
- Recovering an excess payment.
- Any amount charged above these caps is a prohibited payment, and a tenant can ask for it back or apply to the First-tier Tribunal (Property Chamber).
A tenant is offered a property with rent of £1,200 per month, or £276.92 a week. The agent asks for a deposit of seven weeks' rent and a £150 "referencing fee" before the tenancy starts.
Lawful deposit cap (5 weeks)
Referencing fee charged
Amount the tenant can ask back
Excess deposit + £150
Since annual rent is under £50,000, the deposit cap is five weeks' rent. Any deposit charged above that figure is a prohibited payment, as is the entire £150 referencing fee, since referencing costs are not on the permitted list.
Deposit protection scheme
First-tier Tribunal (Property Chamber)
Tenant Fees Act 2019
Tenant Fees Act 2019: guidance
Tenant Fees Act 2019 — Renters' Rights Glossary
What the Tenant Fees Act 2019 bans, what deposit and holding deposit caps apply, and how to recover a prohibited payment.