Time is running out for landlords to protect themselves

Hundreds of landlords risk having to pay out large sums of money to their tenants unless they take action to comply with new regulations coming into effect in April.

The new tenancy deposit scheme means that landlords will no longer retain control of the deposits paid by new tenants.

Emma Dancer, commercial property specialist at Andersons Solicitors in Nottingham, says the regulations are designed to stop rogue landlords holding on to deposits unfairly at the end of a tenancy.

“Unfortunately, it affects everyone so even the most scrupulously fair landlords will have to join a government approved scheme to make sure the money is properly protected. The regulations apply to all assured shorthold tenancies taken out after April 6th.

“Landlords will have only 14 days to tell a new tenant which scheme is being used. Failure to do so could result in a court ordering the landlord to pay the tenant an amount equal to three times the deposit.”

Dancer says most landlords have already chosen a scheme but hundreds more haven’t. “The implications could be very serious because each tenancy is treated individually so every deposit that isn’t properly protected could result in a fine. For landlords with several properties that could prove very costly.”

Emma Dancer is a residential and commercial property expert at Andersons Solicitors. She can be contacted by emailing edancer@andersonssolicitors.co.uk or calling 0115 988 6722