Renting a new place in England? It’s important to know what you can legally be charged — and what fees are banned. Since the Tenant Fees Act became law in June 2019, many extra costs have been removed to protect renters like you.
Let’s break it all down in plain English.
What Fees Are Legal for Tenants?
Even with the new rules, there are still a few things your landlord or letting agent can legally ask you to pay. Here’s what’s allowed:
1. Your Rent
This is the basic cost of living in the property and will be written in your tenancy agreement. You must pay this on time, usually every month.
2. Tenancy Deposit (Security Deposit)
This is refundable and protects the landlord if you damage the property or break the contract. It is:
- Capped at 5 weeks’ rent if your rent is under £50,000 per year
- Capped at 6 weeks’ rent if your rent is over £50,000 per year
3. Holding Deposit
This holds the property for you while checks are done. It:
- Can’t be more than 1 week’s rent
- Must be returned within 14 days unless you break the agreement
4. Bills
You still have to pay for things like:
- Gas and electricity
- Water
- Internet
- Council Tax
- TV Licence
5. Changes You Ask For
If you request a change to the tenancy agreement (like changing a tenant’s name), they can charge you — but no more than £50.
6. Late Rent Fees
If you pay your rent more than 14 days late, your landlord can charge interest:
- Up to 3% above the Bank of England’s base rate
- Only for the days your payment is late
7. Cost of Repairs
If you cause damage, you may have to pay for repairs — but the cost must be reasonable, and they must show proof of the cost.
What Fees Are Banned for Tenants?
Before the 2019 law, landlords and agents often charged high extra fees. Now, many of those are completely banned.
Here’s what you should NOT be charged for:
❌ Admin Fees
Things like preparing your rental contract or making photocopies. These used to cost renters £300+, but not anymore.
❌ Reference Checks
Checking your job, income, or renting history is now the landlord’s responsibility — you shouldn’t pay for this.
❌ Credit Checks
You can’t be charged for checks with credit agencies.
❌ Tenancy Renewal Fees
If you decide to stay in the property longer, you should not be charged for renewing the agreement.
❌ Check-Out Fees
Landlords used to charge for “moving out inspections” — these are banned now.
Already in a Tenancy Agreement?
No worries. The Tenant Fees Ban applies to all tenancies — even the ones signed before the law started. If you’re still being charged banned fees, you can ask for a refund.
What If You’re Charged an Illegal Fee?
If a landlord or agent charges you a banned fee:
- They must return the money within 28 days
- They can be fined up to £5,000 the first time
- If they do it again, they could face a ban from renting out homes
Also, if they’ve taken banned fees from you, they can’t evict you using a Section 21 notice — unless they’ve given your money back.
What About Deposit Protection Schemes?
Your security deposit must be protected by law.
There are 3 government-backed schemes in England and Wales. Your landlord must:
- Protect your deposit within 30 days
- Tell you which scheme they used
- Use either the custodial (they hold the money) or insured (you or they hold it) method
If there’s a disagreement at the end of your tenancy, the scheme will help solve the issue.
Final Tips for Tenants
- Ask questions before signing a contract.
- Get everything in writing.
- Keep proof of any payments you make.
- Report illegal charges to Trading Standards or your local council.
In Summary: Know Your Rights
Thanks to the Tenant Fees Act, renting a home in England is now fairer and more transparent. Make sure you only pay what’s legal — and don’t be afraid to speak up if you think you’re being overcharged.
We hope this guide helps you understand tenant fees better. For more simple and useful housing tips, visit HousingMarketNews.
