The following Property guidance note provides comprehensive and up to date legal information covering:
All deposits taken by landlords for residential assured shorthold tenancies (ASTs) in England and Wales must be protected by a tenancy deposit scheme (TDS). The parties to an AST cannot contract out of the obligations.
There are two types of TDSs: insurance-based schemes and custodial schemes. They are intended to:
allow tenants to get all or part of their deposit back when they are entitled to it and make any disputes easier to resolve
encourage landlords and tenants to make a clear agreement from the start on the property's condition so that a landlord is not left out of pocket when a tenancy expires and a tenant leaves
It is for the landlord, as opposed to the tenant, to choose which scheme to use.
Since 28 February 1997, the majority of assured tenancies have been ASTs. Any tenancy granted after 28 February 1997 is automatically an AST unless:
a notice is served stating that the tenancy is not an AST
it is written in the agreement that it is not an AST, or
an exception applies
For further guidance on ASTs, see Practice Notes: Assured and assured shorthold tenancies—granting and Assured and assured shorthold tenancies—terminating.
A deposit for the purposes of the legislation is any money intended to be held (by the
**Trials are provided to all LexisPSL and LexisLibrary content, excluding Practice Compliance, Practice Management and Risk and Compliance, subscription packages are tailored to your specific needs. To discuss trialling these LexisPSL services please email customer service via our online form. Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason. Trial includes one question to LexisAsk during the length of the trial.
To view the latest version of this document and thousands of others like it, sign-in to LexisPSL or register for a free trial.
Existing user? Sign-in
Take a free trial
0330 161 1234
To view our latest legal guidance content,sign-in to Lexis®PSL or register for a free trial.