This guide covers most privately rented homes. Different rules may apply to social housing, holiday lets and some arrangements where you live with your landlord.
Letting agent fees to tenants
Only letting agents in Northern Ireland may charge tenants for their services. Fees can vary but must be transparent, so ask for details of any costs that will, or could, be incurred if you are unsure.
Across the rest of the UK, most upfront tenant fees have been banned:
- Scotland since 2012, after the Scottish Government clarified previous legislation to make upfront tenant fees unlawful.
- England under the Tenant Fees Act 2019
- Wales under the Renting Homes (Fees etc.) (Wales) Act 2019
In England and Wales, certain default fees are still permitted under the relevant legislation, including charges for the late payment of rent or the replacement of lost keys and security devices.
These are in addition to rent, tenancy deposits and holding deposits. Letting agents must clearly display any fees, charges and penalties, including VAT where applicable, on their website and in their offices so consumers can make informed decisions before renting a property.
Holding deposits for rented properties
Holding deposits (to reserve a property) of a maximum of one week's rent are allowed in England and Wales. The deposit must be returned to the successful tenant within seven days and—with their consent—can be put towards the first month’s rent or tenancy deposit. The rules are less clear in Northern Ireland: If a holding deposit is taken, the amount, purpose and refund conditions should be agreed in writing before it is paid.
Holding deposits are not allowed in Scotland.
If you've paid a holding deposit then it must be returned to you if the landlord pulls out before the agreed deadline. If it's kept by the landlord then the reason for doing so must be outlined to you in writing. The landlord can only retain the holding deposit if you:
- Withdraw your interest in the property
- Fail a right to rent check (England only)
- Provide false or misleading information, e.g, incorrect salary
- Do not provide an answer by the deadline
Tenancy deposits
You will likely have to pay a deposit which serves as a security against damage to the property, usually equivalent to a month’s rent. This is returned at end a tenancy minus deductions for damage or if there's any outstanding rent, this will be covered in your tenancy agreement.
There is no formal cap on deposits in Wales. In England tenancy deposits are however capped at five weeks’ rent where the annual rent is less than £50,000, and six weeks’ rent where the annual rent is £50,000 or more.
Tenancy deposit deductions
Your landlord can request deductions from the deposit for breaches of the tenancy agreement (such as damage or alterations). However, the amount deducted must be reasonable and take fair wear and tear into consideration. Our guide will help you get your full deposit back.
Click the tabs to see more about the rules in each of the UK nations.
Most tenant fees are banned.
A landlord or letting agent can ask you to pay:
- rent;
- up to one month’s rent in advance, after the tenancy agreement has been signed;
- a refundable tenancy deposit of up to five weeks’ rent, or six weeks’ rent if the annual rent is £50,000 or more;
- a refundable holding deposit of up to one week’s rent;
- up to £50 if you ask to change the tenancy agreement, unless the agent can show that a higher charge is reasonable;
- reasonable costs for replacing a lost key or security device;
- interest on rent that is at least 14 days late, at no more than 3% above the Bank of England base rate;
- certain costs if you do not give the correct notice to end your tenancy; and
- agreed bills such as council tax, energy, water, broadband and television services.
You cannot normally be charged for applications, references, inventories, check-ins, check-outs, tenancy renewals or general administration.
An agent cannot require you to buy insurance or pay for a third-party service. You can choose to use services such as a professional guarantor or deposit replacement product, but these should not normally be your only option.
Northern Ireland does not currently have the same clear statutory “permitted payments” framework as England or Wales.
The key rule is that an agent acting for a landlord cannot oblige the tenant to pay for professional services the agent is carrying out on the landlord’s behalf. This means agents should not charge tenants for matters such as:
- processing your application;
- carrying out credit or reference checks;
- contacting a guarantor, employer or previous landlord;
- preparing or printing tenancy documents; and
- arranging or renewing the tenancy.
An agent may be able to charge for a separate service that you have chosen and asked them to provide. It must be genuinely optional and should not be part of the work they are already doing for the landlord.
A tenancy deposit cannot be more than one month’s rent.
Most tenant fees are banned.
A landlord or letting agent can ask you to pay:
- rent;
- a refundable security deposit;
- a refundable holding deposit of up to one week’s rent;
- agreed bills such as council tax, energy, water, broadband and television services;
- interest on rent that is at least seven days late, at no more than 3% above the Bank of England base rate; and
- the reasonable cost of replacing a lost key or security device.
Unlike England, there is no fixed legal cap on a security deposit. However, the amount must not be used to hide an extra fee.
You cannot normally be charged for applications, references, inventories, check-ins, check-outs, tenancy preparation, renewals or changes to your occupation contract.
Letting agents cannot charge tenants for arranging or managing a tenancy.
You can be asked to pay:
- rent; and
- a refundable tenancy deposit of no more than two months’ rent.
You should not be charged application, administration, referencing, inventory, tenancy preparation, renewal or check-in fees. Agents should not charge a holding or reservation fee.
You can still be responsible for unpaid rent, damage or another breach of your tenancy agreement.
If you are asked to pay a fee
Before paying, ask the landlord or agent to explain in writing:
- what the payment is for;
- why it is allowed;
- whether it will be refunded; and
- when it must be paid.
Keep copies of adverts, emails, receipts and tenancy documents. If you think a fee is unlawful, raise it with the agent first. If the agent belongs to a redress scheme, you may be able to make a complaint after completing the agent’s complaints process.
Find your local property expert
According to independent YouGov research, most people turn to a local agent for advice and the most trusted local agents are those who are qualified and belong to a professional body. Our members are spread across the UK so use the search below to locate your nearest agency.
YouGov research conducted on behalf of Propertymark in January 2025 with 1012 consumers involved in property transactions in the last 12 months, showed the largest proportion (55%) chose a local property agent for advice and 60% said the most important qualities were holding a regulated qualification and belonging to a professional body.