From 1st June 2019 – If you enter into a tenancy agreement, student let or licence to occupy housing in the private rented sector, a landlord or agent will be prohibited from charging you any fees or other payments that are not included in the list of permitted payments below.
Before 1st June 2019 – A landlord or agent will still be able to charge fees up until 31st May 2020, but only where these are required under an existing tenancy agreement.
From 1st June 2020 – The ban on fees will apply to all assured shorthold tenancies, tenancies of student accommodation and licences to occupy housing in the private rented sector in England.
The only payments in connection with a tenancy that you can be asked to make are:
- The rent
- A refundable tenancy deposit capped at no more than five weeks’ rent where your total annual rent is less than £50,000, or six weeks’ rent where your total annual rent is £50,000 or above
- A refundable holding deposit ( to reserve a property) capped at no more than one week’s rent
- Payments to change the tenancy when requested by the tenant, capped at £50, or reasonable costs incurred if higher
- Payments associated with early termination of the tenancy, when requested by the tenant
- Payments in respect of utilities, communication services, TV licence and Council Tax
- A default fee for late payment of rent and replacement of a lost key/security device giving access to the housing, where required under a tenancy agreement.
If the payment a landlord or agent is charging is not on this list it is NOT lawful, and a landlord or agent should NOT ask you to pay it.
A landlord cannot evict you using the Section 21 eviction procedure until they have repaid any unlawfully charged fees or returned an unlawfully retained holding deposit.
The Act also makes provision for tenants or relevant persons to be able to recover unlawfully charged fees through the First-tier Tribunal.
Landlords will be responsible for the costs associated with setting up, renewing or ending a tenancy e.g.
- Referencing
- Administration
- Inventory
- Renewal
- Check-out fees
