Tenant Fees Act 2019 – What has changed for Landlords?

Tenant Fees Act 2019 – What has changed for Landlords?

From 1 June 2019 private landlords will not be able to charge tenants for anything other than rent, deposits, utilities, fees for early termination, default of contract, lost keys or late payment of rent.

If the charges are not included in the above list, they will be a prohibited payment. Common charges which are no longer permitted are:

  • Third-party referencing fees
  • Credit check fees
  • Fees for carrying out an inventory
  • Agents’ fees
  • Fees for cleaning and gardening at the end of the tenancy
  • Additional charges for including furniture
  • Additional charges for allowing pets at the property

If you do charge any of these fees you would be in breach of the act and enforcement action may be taken upon. Local Trading Standards could issue a fine of up to £5,000 if this is the first offence and any further illegal charges will be a criminal offence and they may result in fines of up to £30,000.

Local authorities also have special powers to deal with serious repeat offenders such as banning the landlord from letting houses, applying for landlords to pay up to 12 months rent back to the tenant and further orders allowing local authorities to take possession of the property and collect rent.

For the full government guidance please follow the link below:

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/791273/TFA_Guidance_for_LandlordsAgents.pdf

For further advice on this issue please contact our property disputes team on  property-disputes@owenwhite.com

ENDS                                                                                                                                                               APRIL 2019

 

 

 

 

 

About the Author: Nicola King

  • Nicola is an Associate Director in the Property Dispute team with over 19 years’ experience in litigation
  • Nicola regularly advises developers, private landlords, letting agencies and tenants. She specialises in property litigation and has significant experience in dealing with a variety of property related disputes in the County and High Courts. These include both commercial and residential landlord and tenant claims (such as lease renewals, possession, forfeiture, breach of covenants, payment arrears and dilapidations), disputes on land contracts, restrictive covenants and easements
  • Nicola’s primary focus is on solving problems. If you are an owner or have an interest in land then unfortunately it is common to encounter problems with a tenant, landlord or a neighbouring owner
  • Nicola’s role is to help resolve that dispute in a practical and cost effective manner
  • Nicola also has a wide range of experience in commercial disputes involving breach of contract, misrepresentation, enforcement of restrictive covenants and franchise agreements
  • Nicola is an experienced advocate and delivers seminars and training on a range of litigation and franchise issues
  • Nicola regularly drafts articles on new case law and legislation

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