The Tenants Fees Act, And Ongoing Tenancies
On the 1st June 2019 the above Act came into force across England and introduced fundamental changes to the fees and charges that landlords, and/or letting agents, can seek to recover from a tenant.
Whilst the legislation applied to all new tenancies from 1st June 2019, it also includes all ongoing tenancies from the 1st June 2020.
What does this mean for your tenancy agreement that you have ongoing with your current tenant? In essence, the Act bans all payments from a tenant in association with renting a residential property, unless they are expressly permitted by the Act. Therefore any clause in a tenancy agreement, requiring a banned payment, will now be void from the 1st June 2020.
Examples of Prohibited Payments/Fees
Tenancy Agreement fees Reference and Credit Check charges Inventory and check out fees Requesting ‘professional’ cleaning at the end of a tenancy Requesting chimney sweeping Requesting pool servicing, maintenance, opening and closing Requesting ‘professional’ clearing of gutters and drains Requesting gardening contractors to maintain grounds Requesting additional payments for pets ie. Pet deposits
Tenancy Deposit
The Act also capped deposits for all new tenancies at a maximum of 5 weeks rent (if the rent is less than £50,000 per annum) and 6 weeks rent (if the rent is £50,000 or more per annum)
However with an existing tenancy, which has already reverted to a Periodic Assured Shorthold Tenancy from 1st June 2020, there is no requirement to refund the different in the deposit held and the equivalent of 5 weeks rent. Therefore currently held deposits are not affected.
What are the permitted payments?
Rent Actual utility costs Certain tenancy default fees Restricted fees for assignment/variation of a tenancy Early termination of agreement fees – again restricted under the Act
Consequences
Trading Standards are responsible for enforcing breaches of the Act. Each breach will be a civil offence, and carry financial penalties. There are further penalties for breaches including being unable to serve notices or banning orders for landlords.
The full details of the Act can be found at https://www.gov.uk/government/publications/tenant-fees-act-2019-guidance
Snowdrops in the Cotswolds: A Winter Highlight at Painswick
As winter begins to loosen its grip on the Cotswolds, one of the most uplifting signs of the changing seasons quietly emerges, snowdrops. These delicate white flowers, often pushing through frost-hardened ground, bring a sense of hope and renewal, and nowhere is this more beautifully displayed than the snowdrops at Painswick Rococo Garden.
Snowdrops in the Cotswolds: A Winter Highlight at Painswick
Inheritance Tax and Agricultural Property Relief
This has been a hot topic since the surprise announcements in the Autumn budget of 2024 and has threatened to turn upside down tax planning for farmers and the affordability of succession. The short article below captures the key facts and implications which have been debated from farmhouse kitchen tables up to the Government in Westminster and at every level in between…
Inheritance Tax and Agricultural Property Relief
A Very Happy New Year
Happy New Year! We are all back and fully underway into 2026. It is early days, but properties are already going under offer across all our offices and exchanges are securing homes for excited new owners.
A Very Happy New Year
The New Year Reset: The Cotswolds’ Most Luxurious Spas
If the start of the year calls for rest, renewal and a little indulgence, the Cotswolds delivers in spades. Coupled with rural tranquillity, these havens of relaxation and award-winning spas, are the region’s most restorative places to switch off and reset.
The New Year Reset: The Cotswolds’ Most Luxurious Spas
