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The tenant fees ban is now inevitable after gaining Royal Assent

The ban on fees charged by landlords and letting agents will be introduced in June after the Tenant Fees Bill passed its final reading at the House of Commons, meaning that it will soon gain Royal Assent and become an Act of Parliament.

From 1 June 2019, agents will no longer be able to charge fees to set up or renew a tenancy in the private rented sector.

The new law will not just mean a ban on letting fees, but also the majority of other upfront fees payable by tenants to rent a property in England.


There will also be a cap on the amount of refundable security deposit a tenant would be required to pay to the value of five weeks’ rent as well as a cap on the amount of holding deposit a tenant will be required to put down to secure a property to the value of one week’s rent.

The government believes that the Bill will make renting properties in England fairer and more affordable for tenants by reducing the costs at the outset of a tenancy, at the same time as improving transparency and competition in the private rental market.

David Cox, chief executive, ARLA Propertymark, commented: “The tenant fees ban is now an inevitability, and agents need to start preparing for a post-tenant fees world. Following its passage in the House of Lords last week, this afternoon the Tenant Fees Bill passed its final hurdle in the House of Commons.”

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Poll: Do you think the tenant fee ban will push up rents?


  • Bill Wood

    Some years ago, I toyed with the idea of passing the management of my portfolio to Beresfords, a well respected Essex agent, but insisted that they do not charge the prospective tenants anything as I thought it unfair. They refused of course, so I did not instruct them. But now, it seems, I was justified in my request. And I may even have another chat with them about management.

  • icon

    My agents are passing on the fees with a 2% increase in management fees, they have advised me to increase rents by £20-30 a month to pay for them.


    You are very lucky that you can do that Mike, as down here we would just have to absorb the further costs ourselves.
    Maybe the agents will advise a rent increase, but if the tenants are unwilling to pay then we will have to bear the costs or have an empty property on our hands.


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