What should you do if your landlord won’t return your deposit

Struggling to get your deposit back after moving out of your rental home? You’re not alone.  

A recent survey by Generation Rent found that one in four renters have trouble getting their full deposit returned.  

Financial pressure, non-compliance from landlords and unclear tenancy deposit rules are undermining the protections renters depend on. 

Here’s what you need to know about deposit rights and what you can do about it.  

What is the tenancy deposit scheme?  

There’s over £5.4bn of renters’ money sitting in the UK’s tenancy deposit protection (TDP) schemes. These government-approved schemes are designed to: 

• keep your deposit safe during your tenancy 

• make sure it’s fairly returned to you when you move out 

• cover any damage or unpaid rent, if agreed on 

By law, your landlord must protect your deposit in a TDP scheme within 30 days of receiving it, if you’re on an assured shorthold tenancy (AST).  

An AST is the most common type of tenancy agreement in England. It’s a legal agreement between you and your landlord that sets out the terms and conditions of your tenancy.  

Renters are still being let down  

Generation Rent surveyed 1,375 renters and found the system still isn’t working as it should.  

Here's what stood out: 

• 23% of renters had deductions they felt were unfair 

• only one in five challenged the decision using the scheme’s dispute service 

Why aren’t more renters fighting back? 

• 18% didn’t know their rights 

• 13% thought it would take too long 

• 11% didn’t have enough evidence 

• 18% said their landlord never protected the deposit, which is illegal! 

Some renters said the stress of the process would put them off challenging deductions again.  

Deposits are expensive and hard to pay upfront  

On average, deposits cost: 

• £1,118 in England and Wales 

• £793 in Scotland 

With rising rents, it’s getting more difficult to cover these upfront costs.  

Here’s how renters managed to afford their last move: 

• 25% borrowed from friends or family 

• 14% used credit cards or loans 

• 32% had to use savings 

• Only 29% could pay directly from their bank account 

What are your rights?  

Your landlord can only deduct from your deposit for: 

• unpaid rent 

• damage to the property 

• broken or missing items from the inventory (a record of all the fixtures and fittings and the condition the property is in at the beginning of a tenancy) 

They can’t charge you for normal wear and tear, like faded paint, worn carpets or minor scuffs.  

Always ask for a breakdown in writing 

Your landlord or letting agent must tell you why they’re making deductions. Ask them: 

• what exactly they’re charging you for 

• how they’ve calculated the cost 

Get everything in writing, as it will be important if you need to dispute it later. 

If your deposit is protected 

If your deposit is protected by a TDS scheme, you can use your scheme's alternative dispute resolution (ADR) service to help get your deposit back.  

Here’s how the ADR works:  

• you must apply within three months of moving out 

• it’s quick and doesn’t cost anything 

• you and your landlord will submit evidence 

• a decision is made within six weeks 

• you’ll get a clear explanation and be paid any money owed 

• the decision is final and neither side can appeal 

If your landlord refuses to use the ADR service, you can take them to the small claims court.  

You’ll have to pay some court fees but if you win, you should get them back. But, if you lose, you might have to pay your landlord's costs.  

If your deposit was never protected  

If your landlord didn’t protect your deposit (and you’re not a lodger or a student living in halls), they’ve broken the law. 

You may be able to claim: 

• your full deposit back 

• compensation up to three times the deposit amount 

In most cases, you’ll need to take the matter to court.  

Need help? 

• talk to Citizens Advice for guidance on how to take your landlord to court 

• check your deposit’s protection status with TDP schemes 

More information on your rights as a private renter can be found in our guide on the rights of assured shorthold tenants.