Tenancies permitted fee and cost

Fees Tenants in England Can Be Charged — GOV.UK Guidance

Under the Tenant Fees Act 2019, landlords and letting agents in England can only charge a limited list of permitted fees, with any other payment being a prohibited (banned) fee.

Permitted payments

1. Rent – as agreed in your tenancy agreement, at regular intervals, and not more than the advertised amount.

2. Rents can be subject to yearly reviews, though cannot be reviewed more than once within any twelve-month period.

3. Refundable tenancy deposit – capped at 5 weeks’ rent if annual rent is under £50,000, or 6 weeks’ rent if £50,000–£100,000. Must be protected in a government‑approved scheme. NOTE: Your deposit may be at risk if damage due to negligence occurs during tenancy.

4. Refundable holding deposit – this is to reserve a property and capped at 1 week’s rent. This can only be held for 15 calendar days unless by agreement in writing (for example): due to delays in referencing. Holding fee no-refundable reasons include: 1) Failure of right to rent checks. 2) Should you withdraw during referencing process. 3) Failure to communicate / non-communication during referencing / tenancy progression. 4) Should false or misleading information be given or determined during the referencing process.

5. Payment to change the tenancy – if you request a change (e.g. adding a name). This will be up to £50, unless costs are higher, in which case the sum will be evidenced in writing.

6. Payment when ending tenancy without giving correct notice. This cannot be more than the amount of rent that would have been received if the tenant had given the correct amount of notice.

7. Payment towards utility bills, communication services, and council tax – if stated in the tenancy agreement

8. Fee for late payment of rent – if stated in the tenancy agreement. This will only apply when rent is overdue by at least 14 full days, the maximum fee rate is 3% above the Bank of England’s base rate and that the fee would only be charged on the amount that is overdue.

9. Fee for replacing a key or security device. The costs reasonably incurred by the landlord / lettings agent in replacing the item(s) and will be evidenced in writing.

Deposits are secured with a government approved scheme ‘The Deposit Protection Service’.