Tenants will be protected from unfair letting fees and will see their tenancy deposits capped at 5 weeks’ rent, putting hard-earned cash back in their pockets, thanks to a new law being ushered in today.
Unexpected letting fees and high deposits can make properties harder for people to afford and are often not clearly explained upfront – leaving many prospective tenants unaware of the true costs of renting a property.
The Tenant Fees Bill, which has received Royal Assent today and now becomes an Act, puts an end to costly fees imposed by landlords or agents – with the ban on fees to come into effect from 1 June. It is expected to save tenants across England at least £240 million a year, or up to £70 per household.
The Act also caps the security deposits that renters pay at the start of their tenancy at 5 weeks’ rent, giving people the assurance that legally they cannot be expected to pay more than this to secure a property.