{"id":15235,"date":"2019-07-22T00:00:00","date_gmt":"2019-07-22T00:00:00","guid":{"rendered":"https:\/\/clearway.vanillabeancreative.com\/news\/what-is-the-tenant-fees-act\/"},"modified":"2024-04-05T11:15:11","modified_gmt":"2024-04-05T11:15:11","slug":"what-is-the-tenant-fees-act","status":"publish","type":"post","link":"https:\/\/www.clearway.co.uk\/news\/what-is-the-tenant-fees-act\/","title":{"rendered":"What is the Tenant Fees Act?"},"content":{"rendered":"<p><strong>The new Tenant Fees Act 2019 was bought into effect on 1 June 2019 to prevent landlords and agents from charging private tenants excessive letting fees.<\/strong><\/p>\n<p>It has been reported that the Tenant Fees Act will save UK renters \u00a3192 million a year but could cost landlords up to \u00a383 million and letting agents \u00a3157 million in its first year.<\/p>\n<p>Landlords should familiarise themselves with the new rules to ensure that they are not breaking the law and at risk of receiving a fine or penalty.<\/p>\n<p><strong>Which fees are banned under the new rules?<\/strong><\/p>\n<p>The Tenant Fees Act bans all up-front admin fees and end of tenancy fees and caps initial deposits and holding deposits.<\/p>\n<p>It is now illegal to charge tenants admin fees. This includes costs associated with reference checks, credit checks, inventory checks, check-out fees, and guarantor fees. Landlords are also not allowed to charge a fee for the property to be professionally cleaned at the end of a tenancy.<\/p>\n<p>Deposits may not exceed the price of five week\u2019s rent and holding deposits to reserve a property cannot cost more than one week\u2019s rent.<\/p>\n<p>Landlords are still permitted to charge fees for late rent payments and for leaving a tenancy early.<\/p>\n<p>Fees detailed in tenancy agreements that were signed before 31 May 2019 are still applicable until 31 May 2020.<\/p>\n<p><strong>Consequences for landlords<\/strong><\/p>\n<p>Landlords should ensure that they have reviewed their tenancy agreements for all new tenants and renewals issued after 1 June 2019.<\/p>\n<p>Any landlords or letting agents found to be breaching the act could receive a fine of \u00a35,000 and civil penalties of up to \u00a330,000.<\/p>\n<p>More details about the Tenant Fees Act can be found on the\u00a0<a href=\"https:\/\/www.gov.uk\/government\/collections\/tenant-fees-act\">government website here<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The new Tenant Fees Act 2019 was bought into effect on 1 June 2019 to prevent landlords and agents from charging private tenants excessive letting fees. It has been reported that the Tenant Fees Act will save UK renters \u00a3192 million a year but could cost landlords up to \u00a383 million and letting agents \u00a3157&#8230;<\/p>\n","protected":false},"author":12,"featured_media":16044,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[7],"tags":[],"area":[50],"class_list":["post-15235","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","area-evictions-debt-recovery"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.3 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>What is the Tenant Fees Act? - Clearway<\/title>\n<meta name=\"description\" content=\"What is the Tenant Fees Act? - Read the full story here at Clearway - leaders in property protection - securing tomorrow today.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.clearway.co.uk\/news\/what-is-the-tenant-fees-act\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"What is the Tenant Fees Act? 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