Letting Agents: Deposits

(asked on 6th December 2022) - View Source

Question to the Ministry of Housing, Communities and Local Government:

To ask the Secretary of State for Levelling Up, Housing and Communities, what recent discussions he has had with letting agencies on the use of zero deposit schemes.


Answered by
Felicity Buchan Portrait
Felicity Buchan
This question was answered on 14th December 2022

Under the Tenant Fees Act 2019, letting agents cannot require tenants to meet any conditions that could only be met by paying a fee for a third-party service including requiring the tenant to use a deposit replacement product.

Enforcement of the prohibitions under the Tenant Fees Acts sits with National Trading Standards Estate and Letting Agency.

Deposit replacement products can offer flexibility and remove barriers to securing a tenancy for tenants who would otherwise struggle to fund an upfront cash deposit. We are keeping the impact and risks of deposit alternatives under review, including their affordability, accessibility, and the way they are sold.

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