Tenancy deposit scheme (England and Wales)
Under the provisions of the United Kingdom Housing Act 2004 every landlord or letting agent that takes a deposit for an assured shorthold tenancy in England and Wales must protect the deposit under an authorised tenancy deposit scheme. The regulations came into effect on 6 April 2007, and were amended by the Localism Act 2011 (taking effect from 6 April 2012) and the Deregulation Act 2015 (taking effect from 26 March 2015). Most recently the Tenant Fees Act 2019 provided further protections for tenants (e.g. restricting the maximum deposit that can be taken and banning automatic cleaning fees regardless of how clean the property was returned). Reasons for introduction It is common for landlords to take a dilapidation deposit from a tenant at the start of the tenancy. The deposit acts as a safeguard should the tenant cause any damage to the property. Some unscrupulous landlords are either very slow to return deposits at the end of the tenancy or make unfair deductions. The purpose of the regulations is to ensure good practice in this area, and try to keep disputes between landlords and tenants out of the courts by encouraging alternative dispute resolution. However, tenants and landlords still need