Deposit protection rules
You have 30 days from receiving a deposit to protect it and serve the prescribed information. Get it wrong and the penalty is one to three times the deposit, paid to the tenant — a claim that survives the end of the tenancy.
One clock, two duties
The 30 days covers both protecting the money and serving the prescribed information. Landlords routinely protect the deposit within a day or two, then send the paperwork a month later — and that is still a breach, with the full penalty available.
What the prescribed information must contain
- The address of the rented property
- How much deposit was paid
- How the deposit is protected
- The name and contact details of the scheme, and of its dispute resolution service
- Your name and contact details as landlord
- Details of any third party who paid the deposit
The last one is the most commonly missed. If a parent or guarantor paid the deposit, their details belong in the information — and without them it is incomplete.
Why this matters more now, not less
For years the sanction landlords actually feared was procedural: an unprotected deposit meant you couldn't serve a Section 21notice until you'd returned the money or resolved proceedings. Plenty of landlords treated the paperwork as something to sort out if and when they wanted possession.
Section 21 was abolished on 1 May 2026, so that particular consequence has gone with it. What hasn't changed is the financial penalty — which means the money is now the primary exposure rather than a secondary one, and the old “deal with it later” reasoning no longer works. A former tenant can bring a claim years after moving out.
The caps
- Five weeks' rent where the annual rent is under £50,000.
- Six weeks' rent where the annual rent is £50,000 or more.
- One week's rent maximum for a holding deposit.
Unchanged by the Renters' Rights Act, and with no additional allowance for pets.
Making deductions stick
At the end of the tenancy, deductions need evidence — and the evidence is a dated record of condition at check-in set against check-out. Without one, an adjudicator has little to weigh and disputes tend to go the tenant's way. Fair wear and tear is never deductible.
RentFig's check-in and check-out reports produce exactly that, and the Tenancy Setup Wizard handles deposit protection with the 30-day prescribed information clock built in — which is the whole of this page reduced to a step you can't skip.
FAQ
How long do I have to protect a deposit?
30 days from receiving it — and the same 30 days covers serving the prescribed information on the tenant. It is one clock and two duties, which is where most landlords come unstuck: they protect the deposit promptly and then send the paperwork weeks later, which is still a breach.
What must the prescribed information contain?
The property address, how much deposit was paid, how it's protected, the scheme's name and contact details along with its dispute resolution service, your name and contact details, and details of anyone else who paid the deposit — a parent or guarantor, for example. Miss the third-party detail where it applies and the information is incomplete.
What's the penalty for getting it wrong?
Between one and three times the deposit, payable to the tenant, on the tenant bringing proceedings under section 214 of the Housing Act 2004. The court decides the multiple. On a five-week deposit for a £1,200-a-month property that's roughly £1,385 to £4,150 — for a paperwork failure.
Can a former tenant still claim?
Yes, and this surprises people. The claim survives the end of the tenancy — a tenant who moved out can still bring proceedings for a deposit that was never protected, or for prescribed information that arrived late or not at all. Handing the deposit back at the end doesn't retrospectively cure the breach.
Does an unprotected deposit still block eviction?
The classic sanction was that you couldn't serve a Section 21 notice until the deposit was returned or proceedings resolved. Section 21 was abolished on 1 May 2026, so that particular consequence has gone with it. What has not changed is the financial penalty — which means the money is now the main exposure rather than a secondary one. If you'd been relying on the old rule of thumb that deposit paperwork only mattered when you wanted possession, that reasoning no longer holds.
How much deposit can I take?
Five weeks' rent where the annual rent is under £50,000, or six weeks where it's £50,000 or more, under the Tenant Fees Act 2019. A holding deposit is capped separately at one week's rent. Those caps are unchanged by the Renters' Rights Act, and there is no additional allowance for pets.
Which scheme should I use?
Any of the government-approved schemes. The real choice is between custodial, where the scheme holds the money at no cost, and insured, where you keep it and pay a fee. Custodial removes the risk of you needing to find the cash at the end of a tenancy, which is worth more than it sounds.
What if I want to make deductions at the end?
Deductions have to be evidenced, and the evidence is a dated record of condition at check-in compared with check-out. Without one, the scheme's adjudicator has little to work with and disputes tend to resolve in the tenant's favour. Fair wear and tear is never deductible, however irritating.
Disclaimer: This guide is general information for UK landlords, not legal or financial advice. Law and practice change — always confirm the current position, and take advice on anything that matters. The Section 21 point above describes a sanction that fell away with Section 21 itself on 1 May 2026. It is not a statement that deposit breaches have no possession consequences under the reformed regime — take advice on your situation rather than assuming either way.