The Tenant Fees Bill is currently passing through the parliamentary stages. The bill is intended to make private residential lettings more affordable for tenants renting in the private sector in England by banning ‘hidden costs’ in the form of some of the letting fees currently charged to new tenants. 

The bill contains proposals for capping security deposits and banning landlords and letting agents from charging residential tenants and occupiers (including those in student accommodation) any fees other than those expressly permitted by the bill. The ‘permitted payments’ definition in the bill as currently drafted includes:

• rent
• security deposits of up to six weeks’ rent
• holding deposits (to take the property off the market) of up to one week’s rent
• tenant default fees;
• capped fees for assignment, variation or early termination of a tenancy.

Watch this space for further information when or if this becomes law. Prettys’ real estate team is available to assist with any queries in the meantime.