Tenant Fee Ban 2019

You may have heard that the government is introducing a ban on tenant fees from the 1st of June 2019. This ban applies to both Landlords and Letting agents in England.
A ban is already in place in Scotland, and although still legal in wales and Northern Ireland, this has also been proposed for the future.

So what exactly does this mean for tenants?

The new legislation will mean that tenants can only be charged for the following items, if relevant to their tenancy:

A refundable deposit, in order to reserve the property. This amount will be a maximum of one week’s rental amount, and may be offset against the rental payment.
A refundable deposit which must be protected by a tenancy deposit scheme
Utilities and council tax if included within the tenancy
Any changes to the tenancy or agreement requested by the tenant only
Charges relating to an early termination of the tenancy, if requested by the tenant
A charge can be applied to cover any late rent payments by the tenant, or replacement costs of lost keys or other security devices. 

If any of these charges apply, they must be fair and considered to be reasonable amounts for the work required. 

It is important to know that if you are in an existing tenancy, this will not come under the scope of the ban until 1 June 2020

This means that up until this date, unless you renew the tenancy and create a new fixed term tenancy, then any fees that were originally part of your tenancy agreement can still be charged. 

We’re always happy to answer any questions for you on any aspect of renting a property, so feel free to get in touch!