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Deposit deductions

04/08/2026
 

Deposit deductions are constantly questioned by landlords and tenants. Typically asking if the deduction is reasonable or if its reasonable to even carry out a deposit deduction. 

 

At the end of an tenancy, the ideal situation, for both the landlord and the tenants would be that the property is left in a clean and well looked after condition. This way there will be a quick turn around for the next tenant and no set backs for the tenant that is leaving the property. However, this situation does not  always occur and so the landlord/agent will need to decide on the correct amount to deducted. Once the landlord/agent has come to a conclusion its their duty to present it to the tenant, ensuring that they accept the amount due. If the tenant refuses the amount, they can refer to the deposit protection scheme, to dispute the resolution process. 

 

It is vital that Landlords carfully consider their deductions and understand what situation that they are able to present them to the tenants. 

 

 

Vaild deductions:

  • Unpaid rent: Rent arrears or money owed from breaking the tenancy agreement early.
  • Property damage: Holes in walls, heavy carpet stains, broken fixtures, or pet damage that exceeds normal aging.
  • Missing items: Furniture, appliances, or inventory items taken or broken during the stay.
  • Cleaning and gardening: Professional cleaning or garden upkeep needed to restore the space to its check-in condition.
  • Unpaid utility bills: Gas, electricity, water, or council tax bills left unpaid by the tenant.

 

 

Invaild deductions:

  • Fair wear and tear: Gradual damage from everyday living, such as slight paint scuffs or worn carpets.
  • Upgrades: Replacing old, worn items with brand-new ones or improving the property's overall condition.
  • Routine maintenance: Fixing structural issues, boilers, or normal external weathering that is the landlord's duty to maintain.
  • Mandatory cleaning fees: Blanket clauses requiring paid professional cleaning regardless of the property's actual state.

 

 

Any good Landlord is fair and reasonable when returing their tenants deposit. Deposits are not there as a spare pot of money, for landlords to free use. They are designed as a safety net for landlords in case of any vaild complications. The deposit is the tenants money throughout the whole of the tenancy and it must therefore be held in a govenment approved tenancy deposit scheme. 

 

Disputes can be prevented by landlords/ agents if they conduct a pre-checkout inspection, prior to the end of the tenancy (A few weeks in advance.) During this inspection, the works that need to be carried out,to prevent deductions can be made clear. This should then also be confirmed in writting, to ensure that theres proof of these comments being made. Hopefully these remarks will push tenants to carry out the works before their agreed move date, allowing for a quick and smoother process. 

 

In order to be able to accuratly assess what a fair deduction looks like, its suggested that a landlord/ agent should carry out an in-depth check-out report. Offering in depth descriptions and photographs of everything in the property and their conditions, plus the overal cleanliness. Once this report is completed, the landlord/agent should compare the results with the check-in inventory. All landlord/agents should note that there will be reasonable wear and tear with in the property, especially if the tenant has been living their for a long period of time. Unless the wear and tear is deemed unreasonsable, then it could be grounds for a deposit deduction.

 

Can landlords charge tenants more than the deposits amount? 


The short answer to this is yes. A deposit is a safety net of money that they are able to charge form due to the damage in the property, however it is not a boundary. If the rent arrears or damage sum is more than what the deposit is worth then the landlord has the rights to claim the full deposit through the deposit scheme and pursue the tenant for the balance. 

 

 

Alot of landlords will decide to carry out the works themselves, to save them time and money, as it is possible (within reason) for them to claim back costs from tenants.

 

MyDeposits have confirmed that landlords can carry out the work under the following circumstances:

  • The tenant is responsible for the work thats required and theres an independent inventory report that shows its the responsibility of the tenant. This is essential as a landlord can not charge a tenant for the improvements, when the tenants are not at fault. 
  • The cost of any materials is reasonable and evidenced via reciepts. 
  • The work that is being carried out by the landlord should not cost as much as employing the contractor. MyDeposits suggests that £20.00 an hour is a fair rate. 
  • However, landlords can't claim costs for organising the work or travel costs to get to the property. 

 

Disputes made by tenants: 

 

Each procedure for each deposit scheme differs. For example, MyDeposits will not raise deposit disputes from tenants if they;

 

  • Do not have their rent paid in full
  • Have not met their contractual obligations
  • Made a formal request for the return of the deposit from the landlord or agent
  • They have not allowed 10 calendar days to pass
Tenants have the choice of raising the disputes online or by post, within three calendar months, of the date that they move out of the property. The tenant needs to provide a copy of their formal request, along with any evidence.

 

How long do landlords have to repay the deposit after its agreed?

 

Once both parties have agreed to the proposed deductions, the landlord must repay the remaining amount within 10 working days.

 

Being a good landlord will mean that tenants are kept up to date on the full process with messages/emails. 

 

 

Additional reads; 


Rent guarantee insurance

 

Did you know? Council tax

 

 


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