3 weeks ago
Generation Rent has called for fines against landlords who repeatedly make exaggerated deposit claims, handing the government a petition with 17,000 signatures.
The campaign also targets who keeps the interest on tenants’ money when they hand it over.
The tenant organisation wants insurance-backed deposit protection scrapped in England and says a tender for the replacement system, which was expected by 31 August, has yet to appear.
The petition was delivered to the Secretary of State for Housing, Communities and Local Government.
Generation Rent’s chief executive, Holly Williamson, said: “Requiring landlords to protect money in the scheme rather than hold it themselves, will mean that they have to make any claim after the tenancy ends and return unclaimed cash to the tenant as soon as possible.
“That will make moving home a lot less stressful.”
She added: “But the government should go further and impose fines on landlords who repeatedly get exaggerated claims rejected by the deposit schemes would shut down that behaviour and get money back into renters’ pockets quicker.”
Current deposit protection contracts expire in 2028, with the government redesigning the system ahead of their replacement.
According to Generation Rent, ministers had previously indicated that the replacement would involve a single custodial scheme holding tenants’ money.
Landlords can currently choose custodial protection, which the campaigners say allows undisputed money to be returned while deductions are considered.
However, it argues that insurance-backed schemes allow landlords to retain interest on deposits they hold and can leave tenants under pressure to accept less money to avoid delays.
Generation Rent says tenants who challenge deductions recover 79% of their deposit, yet only one in five facing what it describes as unfair deductions raises a dispute.
Potential delays and uncertainty about their rights put others off, it warns.
It estimates that its proposals could leave 300,000 private renters hundreds of pounds better off each year.
The organisation also wants interest earned on £5.5bn of tenants’ deposits to be used for the benefit of tenants.
9 comments on this article
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Member Since May 2015 - Comments: 2326 - Articles: 2
9:53 AM, 25th September 2026, About 3 weeks ago
Generation rent making it even more risky to accept marginal tenants. Generation rent are the landlords friend, making it mandatory to professionally reference all tenants which inevitably leads to the rejection of all the potentially troublesome individuals
Member Since May 2014 - Comments: 170
11:04 AM, 25th September 2026, About 3 weeks ago
Gen Rent alienate landlords at every opportunity. Indirectly and unknowingly because they fail to join the logic dots..Gen Rent are reducing rental property availability. Pretty short sighted, why not talk to & work with landlords to improve things for all?
Member Since October 2022 - Comments: 2
11:26 AM, 25th September 2026, About 3 weeks ago
What about the Tenants who blatantly lie or deliberately diminish the dilapidation’s? Should they be fined for the additional work involved in filing a time consuming detailed report compiling all the data held on file and obtaining written (paid for) quotations from the Trades? What is good for one party is good for the other.
Member Since August 2016 - Comments: 1198
11:49 AM, 25th September 2026, About 3 weeks ago
Another sale completed today. So that’s three gone now and remaining four to go when the tenants leave.
Member Since February 2025 - Comments: 90
8:41 AM, 26th September 2026, About 3 weeks ago
There is plenty of protection of deposits already. Generation Rent need to find something else to do that will actually help tenants.
However, here is a warning for landlords of student lets:
When my daughter and her friends moved out of their student flat this July, I went to pack up her things and watched as they did an excessively meticulous clean. We then took multiple photos including mattress protectors on the mattresses. I helped take the rubbish bags to the university wheelie bins.
Unfortunately, as her landlord was using letting agents the letting agents didn’t bother inspecting directly but sent rubbish collecting and cleaning companies to all the flats they manage, and the companies reported back with photos of mattresses without protectors and with a general statement that three bags of rubbish were collected from the three flats in the building.
When my daughter and friends produced their photos, the agents said they didn’t have date stamps on the photos themselves so they preferred to believe the companies’ reports. Now being referred to deposit adjudication with photo meta data to support the truth!
The previous year’s rental was managed by the landlord who came round in person to collect the keys and returned the deposit in full within a week.
Member Since May 2024 - Comments: 28
9:10 AM, 26th September 2026, About 3 weeks ago
Reply to the comment left by John Leslie at 25/09/2026 – 11:26
I don’t know how many landlords are on this forum bur why can’t we have a petition to fine tenants
Member Since January 2026 - Comments: 15
9:35 AM, 26th September 2026, About 3 weeks ago
Gen Rent emphasis is “Landlords” only what about rogue Letting Agents who withdraw deposits during tenancy without Landlords or tenants knowledge, pay deposits into personal accounts whilst stating it went to Deposit Scheme making Landlords liable irrelevant of Agent action. Tenants damaging property in excess of deposit who pays?What controls in place for anyone else other than property suppliers?. Gen Rent etc killed rental market and after 15 months legal process tenants evicted via HCEO and damage exceeds £6k. Never rent out again.
Member Since December 2023 - Comments: 1665
12:23 PM, 27th September 2026, About 3 weeks ago
The deposit is limited to just 5 weeks’ rent. Over time, its value falls and after 5 years it may represent just 4 weeks’ rent.
A deposit wouldn’t bring me any comfort that I cannot get by selecting good tenants.
I returned the deposits to my tenants rather than play the government’s game.
Member Since June 2017 - Comments: 161
5:01 PM, 7th October 2026, About 1 week ago
5 weeks deposit forfeiture wouldn’t even cover replacement carpets in many homes. Are this lot really running out of things to have a go at us for? Let’s hope so.