Tenant Fees
The Tenant Fees Act 2019 defines what fees and payments your landlord can ask you to pay. This guidance tells you what happens if you are asked to pay, or have paid a fee that is not allowed.
‘Landlord’ also means letting agent, estate agent or a building management organisation – it’s usually the person who you pay the rent to.
Rent
After you have signed the tenancy agreement, your landlord can ask to you pay a maximum of 1 month’s rent before the tenancy start date. This is known as ‘rent in advance’. After this, the rent will be due on a regular schedule, usually monthly or weekly.
You can read the rent in advance guidance for more information.
Refundable tenancy deposit
You might have to pay a tenancy deposit. This covers any possible damage to the property and can be returned when you move out.
The maximum amount you would have to pay depends on the annual (yearly) rent.
- If the annual rent is below £50,000 the maximum deposit is up to 5 weeks’ rent
- If the annual rent is between £50,000 and £100,000 the maximum deposit is up to 6 weeks’ rent
Your landlord has to keep your deposit money safe by protecting it in a government approved scheme.
Refundable holding deposit
You might have to pay a holding deposit to reserve the property while the landlord does pre tenancy checks.
The maximum holding deposit amount is equal to 1 week’s rent.
Your landlord can hold the deposit for 15 days, unless they have agreed a longer or shorter time period with you in writing.
You should always get your holding deposit money back unless:
- you give false or misleading information to try to get the tenancy
- you change your mind and decide not to rent that property
- you do not reply to requests for information, documents or action
- you fail a Right to Rent check
If your landlord keeps the holding deposit they must tell you why in writing within 7 days.
If your landlord returns the holding deposit they must give it back within 7 days. You could agree for this amount to be paid towards your first month’s rent or the tenancy deposit.
If you don’t receive the decision within 7 days, or in writing, or if you disagree with the reasons for not returning the deposit, you can challenge this by reporting it to:
- your local council
- the First-tier Tribunal (a type of court that can deal with housing issues)
Before you pay a holding deposit you should read and keep a copy of the tenancy agreement and make sure you know about the deposits that you will need to pay.
Fees for tenancy changes
When you ask for a change to the tenancy agreement (for example, to add or remove a person) you can be charged up to £50 for the work involved or a higher amount if the work costs more.
If your landlord asks you to pay more than £50 to change your tenancy you should ask your landlord for proof of the higher cost. If you think the costs are not reasonable, you can report your landlord to your local council.
Payments when you end the tenancy without giving the correct amount of notice
If you give less than the minimum amount of notice to end the tenancy, your landlord can require a payment. This cannot be more than the amount of rent due until the minimum notice period ends (2 months starting on the day rent is due).
You can talk to your landlord and ask for a shorter notice period.
Utilities and other bills
The costs of utilities like gas, electricity, water bills and services like broadband and a landline phone can be included in your rent payment. Your landlord can also require you to pay some utilities and other bills separately.
If some or all of these bills are included, they must be listed as terms in your tenancy agreement. Any bills included must reflect the actual costs.
You are responsible for paying any bills that are not included in the rent.
Council Tax
Your landlord can include a payment for council tax within the rent where this is agreed within the tenancy agreement.
If payments for council tax are not included in the rent, your landlord can require you to pay council tax to the relevant local council.
However, your landlord cannot require you to make a separate payment to them for council tax.
Television Licence
Your landlord can include a payment for a Television Licence within the rent where this is agreed within the tenancy agreement.
If a payment for a Television Licence is not included in the rent, your landlord can require you to make payment for a television licence.
However, your landlord cannot require you to make a separate payment to them for a Television Licence.
Default fees
Your landlord must tell you about any default fees before you sign the tenancy agreement.
You can be charged a default fee:
- for replacement keys, security devices or fobs giving access to the property
- for late payment of rent
Replacement keys, security devices or fobs
You are responsible for looking after the keys for the property throughout the tenancy.
You can be charged the cost of replacing a key or other security device.
Your landlord must provide evidence in writing to show the costs of replacements are reasonable.
Late payment of rent
Your rent must be overdue by at least 2 weeks before you can be charged interest.
The maximum amount of interest is 3% above the Bank of England base rate.
The interest is payable on the amount of rent that you owe for the amount of time that you owe it.
Prohibited payments Additional information can be found here:
If your landlord charges you a fee that is not allowed this is called a prohibited payment.
There are loans, insurance and contracts that can help tenants for example:
- a professional guarantor service
- contents insurance
- a deposit replacement product
- an inventory service
You can choose to use any of these things, but your landlord is not allowed to make you pay for a loan, pay for insurance or start a contract for a service as part of your tenancy.
If your landlord asks you for a fee that is not allowed, you should refuse to pay it and you should keep any evidence.
If you have already paid a fee that is not allowed you can ask your landlord to give the money back and keep a record of any response.
Additional information can be found here: Tenant Fees Act 2019: Guidance for tenants











