Cap tenancy deposits at 5 weeks' rent (6 weeks if annual rent is £50,000 or more)

Taking a tenancy deposit for an assured tenancy (other than social housing), student accommodation or licence to occupy housing in England.

Calculate one week's rent as annual rent divided by 52. Require no more than 5 x that figure if annual rent is below £50,000, or 6 x if annual rent is £50,000 or more. Do not take extra 'pet deposits' or other top-ups above the cap.

Deadline

Before the start of the tenancy

Applies whenever the deposit is required, including on renewal or continuance.

• Deposit calculation (annual rent / 52 x 5 or 6)
• Deposit receipt
• Deposit protection certificate

Civil penalty

Up to £5,000

Criminal offence

Yes, you can be prosecuted

Other consequences

Excess is a prohibited payment that must be repaid; financial penalty up to £5,000, repeat within 5 years is an offence or civil penalty up to £30,000.

• Tenant Fees Act 2019, Schedule 1 para 2 (tenancy deposit cap)legislation.gov.uk
• Tenant Fees Act 2019, s.8 (financial penalties)legislation.gov.uk

Official guidance

Machine check: cap_gbp = annual_rent_gbp / 52 * (5 if annual_rent_gbp < 50000 else 6). Tenancies with annual rent above £100,000 are not assured tenancies and fall outside the Act.

• Protect a tenancy deposit in an authorised scheme within 30 daysIn force since 6 April 2007

  Any money deposit for an assured tenancy must be protected in a government-approved scheme from receipt, with the scheme's initial requirements completed within 30 days. Deposits can only be money.

• Give the deposit prescribed information within 30 daysIn force since 6 April 2007

  Within 30 days of receiving a deposit, give the tenant and anyone who paid it on their behalf the prescribed information about the scheme and the deposit, in the prescribed form or substantially the same.