Agents beware: the importance of protecting tenancy deposits

Between 2017 and 2018 Russell failed to pay a total of £20,000 into Government approved deposit protection schemes. This has led to Russell’s company entering liquidation, and Russell herself being banned from acting as director, or having involvement with the formation or management of a company until 2025.

Agents should be aware that the obligation on landlords of assured shorthold tenants to protect tenancy deposits and comply with the requirements of an authorised tenancy deposit scheme within the prescribed timescale under Section 213 of the Housing Act 2004 extends to them when acting on a landlord’s behalf. It is clearly not an obligation to be taken lightly.