Tenancy deposit protection: the rules for landlords in England

In short: if you take a deposit for an assured tenancy, you must protect it in a government-approved scheme and give the tenant the prescribed information, both within 30 days of receiving it [1][2]. If you don't, a court must order you to pay the tenant between one and three times the deposit [3]. A court also cannot normally make a possession order until the deposit has been dealt with properly [4]. Separately, the deposit itself is capped at 5 weeks' rent, or 6 weeks' if the annual rent is £50,000 or more [5].

Which tenancies and deposits are covered

GOV.UK says a landlord must protect a deposit for an assured periodic tenancy, and that these replaced assured shorthold tenancies on 1 May 2026 [1]. The Renters' Rights Act 2025 amended the Housing Act 2004 so that the deposit rules refer to assured tenancies instead of shorthold tenancies [6].

A tenancy deposit is any money held as security for the tenant's obligations, or for any liability of theirs, under the tenancy [6]. You must protect it even if someone else pays it, such as a parent or a rent deposit scheme [1]. You cannot require a deposit in a form other than money, such as a car or a watch, for an assured tenancy [1][2].

You don't have to protect a holding deposit paid before the agreement is signed. Once the person becomes your tenant, it becomes a deposit and you must protect it [1].

The 30-day deadline

From the moment you receive it, the deposit must be dealt with under an authorised scheme [2]. You must comply with the scheme's initial requirements within 30 days, beginning with the day you receive the deposit [2]. So a deposit received on 1 March must be protected by 30 March. The free compliance calendar and certificate tracker both work out this 30-day deadline for you.

The three approved schemes

In England and Wales a deposit can be protected with the Deposit Protection Service, MyDeposits or the Tenancy Deposit Scheme [1].

The law allows two kinds of scheme [7]:

Custodial: you pay the deposit into the scheme's account, and the scheme holds it until it is due to be repaid.
Insurance: you keep the deposit. Any amount the tenant asks for and you don't repay is paid into the scheme's account, as the scheme directs.

Each scheme offers a free dispute resolution service. Both you and the tenant must agree to use it, and its decision is final [1].

The prescribed information

Within the same 30 days, you must give the tenant, and anyone who paid the deposit on their behalf, the prescribed information, in the prescribed form or a form substantially to the same effect [2]. It includes [1][8]:

the scheme's name and contact details, including its dispute resolution service
the information in the scheme's leaflet explaining how the deposit rules work
the amount of the deposit and the address of the property
your name and contact details (or your letting agent's), the tenant's, and those of anyone else who paid the deposit
when you may keep all or part of the deposit, by reference to the tenancy terms
how the deposit is repaid, and what happens if either side can't be contacted or there is a dispute
a certificate signed by you confirming the information is accurate, and that you gave the tenant the chance to sign it.

If you don't protect it on time

The tenant, or a person who paid the deposit for them, can apply to the county court, including after the tenancy has ended [3]. If the court is satisfied that the deposit was not protected, or the prescribed information was not given, within the 30 days [2][3]:

if the tenancy is continuing, it must order whoever holds the deposit to repay it, or pay it into a custodial scheme, within 14 days
if the tenancy has ended, it may order all or part of the deposit to be repaid within 14 days
in either case it must order you to pay the applicant at least the amount of the deposit and no more than three times it, within 14 days.

Because the claim is about missing the 30-day deadlines, protecting the deposit late does not remove the risk of this award [2][3].

Deposits and getting your property back

Since 1 May 2026, where a deposit was paid for an assured tenancy, the court may make a possession order only if [4]:

the deposit is held in an authorised scheme
the scheme's initial requirements have been met, even if late
the prescribed information has been given.

This does not apply to possession on Ground 7A or Ground 14 of Schedule 2 to the Housing Act 1988, or where the deposit has been returned in full (or with agreed deductions), or a court claim about the deposit has been decided, withdrawn or settled [4]. If you took a deposit other than money, the court may not make a possession order until it has been returned [4]. See section 8 grounds for possession.

At the end of the tenancy

GOV.UK says the landlord must return the deposit within 10 days of you both agreeing how much the tenant gets back. If you disagree, the deposit stays protected in the scheme until the dispute is sorted out [1].

The deposit cap

Under the Tenant Fees Act 2019, any deposit above 5 weeks' rent (where the annual rent is under £50,000) or 6 weeks' rent (where it is £50,000 or more) is a prohibited payment. One week's rent is the annual rent divided by 52 [5]. Use the free deposit cap calculator to work out the maximum for your rent.

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Related tools and guides

Common questions

How long do I have to protect a tenancy deposit?

30 days, beginning with the day you receive it. The prescribed information must be given to the tenant within the same 30 days.

What is the penalty for not protecting a deposit?

If a tenant applies to the county court and the court finds the deposit was not protected, or the prescribed information was not given, within 30 days, it must order you to pay at least the deposit amount and up to three times it, within 14 days.

Can I get possession if I didn't protect the deposit?

Since 1 May 2026 a court may make a possession order on an assured tenancy only if the deposit is in an authorised scheme and the prescribed information has been given. Ground 7A and Ground 14 are exceptions, as is a deposit already returned or a deposit claim decided or settled.

Do I need to protect a holding deposit?

No, not while it is a holding deposit. Once the person becomes your tenant it becomes a tenancy deposit, and you must protect it.

Which deposit protection schemes can I use?

In England and Wales: the Deposit Protection Service, MyDeposits or the Tenancy Deposit Scheme.

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Sources

GOV.UK: Tenancy deposit protection (including information landlords must give tenants and if your landlord does not protect your deposit)
Housing Act 2004, section 213
Housing Act 2004, section 214
Housing Act 2004, section 215 (as substituted by the Renters' Rights Act 2025 from 1 May 2026)
Tenant Fees Act 2019, Schedule 1, paragraph 2
Housing Act 2004, section 212
Housing Act 2004, Schedule 10, paragraph 1
The Housing (Tenancy Deposits) (Prescribed Information) Order 2007, article 2

General information, not legal or tax advice. Checked against GOV.UK on 3 October 2026. Rules change — always confirm on GOV.UK.