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What happens if I protect my tenant's deposit late?

Guide · about 11 min read · Covers the law in England as at November 2026 · Last checked on

If you protect your tenant's deposit more than 30 days after you receive it, two things can follow in England. First, the tenant, or any relevant person who paid the deposit for them, can apply to the county court under section 214 of the Housing Act 2004, and section 214(4) says the court must order you to pay a sum of between one and three times the amount of the deposit within 14 days of the order once it is satisfied of the conditions in section 214(2) or (2A). Second, under the section 215 of the same Act that was substituted from 1 May 2026, the court may make an order for possession only if the conditions in subsections (1) to (3) are met, unless one of the exceptions in subsections (4) and (5) applies.

This guide covers the law in England for assured tenancies that are not social housing assured tenancies, which is the scope of the 1 May 2026 commencement in S.I. 2026/421, regulation 2(a).

Paragraph 11 of Schedule 6 to the Renters' Rights Act 2025 says the amendments made by section 26 do not apply to a tenancy that was, immediately before 1 May 2026, an assured tenancy other than an assured shorthold tenancy, so the earlier version of section 215 still governs those tenancies. Paragraphs 3, 4, 16 and 17 of the same Schedule save the earlier regime in a different situation: where a valid section 21 or section 8 notice was given before 1 May 2026. The saving lasts for the notice and proceedings period those paragraphs set. It matters most to a landlord who is already part way through a possession claim. For a tenancy entered into before 1 May 2026, section 215(8) reads the words "on or after 6 April 2007" into subsection (2), so the trigger is the commencement date and the inserted wording is a separate date doing a different job.

Section 214 has its own transitional provision, and it is a narrow one: for a tenancy that was an assured shorthold tenancy immediately before 1 May 2026, section 214(1ZA) and (1ZB) keep the "on or after 6 April 2007" qualification in subsection (1). The penalty rules described here still apply to those tenancies; what the provision preserves is that qualification, not an exemption from them. This is general information and is not legal advice. You should take professional advice on your own circumstances.

What are the 30-day rules for a tenancy deposit?

When you receive a deposit for an assured tenancy within the scope set out above, you must follow two main rules within 30 days. Section 26 of the Renters' Rights Act 2025 is what extended these duties beyond assured shorthold tenancies. Paragraph 11 of Schedule 6 disapplies those amendments for a tenancy that was an assured tenancy other than an assured shorthold immediately before 1 May 2026. That cohort is outside what this guide describes, and it is worth taking advice on. The statutory term is "assured tenancy", defined for this Chapter by section 212(8) of the Housing Act 2004 by reference to Chapter 1 of Part 1 of the Housing Act 1988. The GOV.UK guidance instead uses "assured periodic tenancy (APT)", which is not a term used in either Act. This guide does not decide which label fits your tenancy, and it is worth taking advice if that matters to you.

These rules are set out in section 213 of the Housing Act 2004. First, you must protect the deposit with a government-approved tenancy deposit scheme. The approved schemes in England are the Deposit Protection Service, mydeposits, and the Tenancy Deposit Scheme. Section 213(3) states that you must comply with the initial requirements of an authorised scheme within 30 days of receiving the deposit.

Second, you must give the tenant, and anyone who paid the deposit on their behalf, certain legally required information. This is known as 'prescribed information'. The duty to give it is in section 213(5). Section 213(6) then requires it to be given in the prescribed form or a form substantially to the same effect under paragraph (a), and within 30 days beginning with the date the deposit is received under paragraph (b). You can learn more about how deposit protection works in England in our detailed guide.

What financial penalty could I face for protecting a deposit late?

You could be ordered to pay your tenant between one and three times the amount of the deposit. If you have not complied with the deposit protection rules within the 30 day time limit, section 214(1) of the Housing Act 2004 allows the tenant, or any relevant person as defined by section 213(10), to apply to the county court. This applies if you failed to protect the deposit, or if you failed to provide the prescribed information on time.

Section 214(4) of the Act says the court "must ... order the landlord to pay to the applicant a sum of money not less than the amount of the deposit and not more than three times the amount of the deposit within the period of 14 days beginning with the date of the making of the order". The GOV.UK guidance summarises this more shortly, saying the court "may also order the landlord to pay you up to 3 times the deposit within 14 days of making the order", and does not mention the minimum. The words quoted first are the words of section 214(4), which is the rule. Within the statutory range, the court decides the amount.

A tenant can make this claim even after the tenancy has ended, as confirmed by section 214(1A). Whether the tenancy has ended also changes what the court does with the deposit itself. If it has not ended, section 214(2) brings in section 214(3), under which the court must order the deposit to be repaid or paid into a custodial scheme's designated account within 14 days. If it has ended, section 214(2A) brings in section 214(3A), under which the court may order repayment of all or part of it. The sum under section 214(4) is mandatory in both cases.

How does late deposit protection affect evicting a tenant?

It can prevent a court from granting you possession of your property. The Renters' Rights Act 2025 abolished the 'section 21' notice procedure from 1 May 2026, by omitting Chapter 2 of Part 1 of the Housing Act 1988 under section 2(b) of that Act, for assured tenancies that are not social housing assured tenancies (S.I. 2026/421, regulation 2(a)). Section 26(5) of the same Act substituted a new section 215 of the Housing Act 2004 from the same date.

The old rules prevented a landlord from giving a valid section 21 notice if the deposit was not correctly handled. The new section 215(1) goes further. It states that where a tenancy deposit has been paid in connection with an assured tenancy, the court may make an order for possession only if the deposit "is being held" in accordance with an authorised scheme, which is a test applied at the time of the order and not only a test of what you did on receipt. Where the conditions in subsections (1) to (3) are not met, the restriction on a possession order applies unless one of the exceptions in subsections (4) and (5) does.

Does protecting the deposit late fix the problem?

It helps with getting possession, but it may not defeat a money claim. The law treats the consequences of late protection differently for possession claims and for financial penalty claims. For possession, the substituted section 215(2) of the Housing Act 2004 says the court may make an order for possession "only if" the initial requirements have been complied with, "whether or not within the period mentioned by section 213(3)". Subsections (1), (2) and (3) each impose a separate "only if" condition, so meeting one of them late does not on its own open the way to possession. Similarly, section 215(3) requires the requirements of section 213(5) and section 213(6)(a) to have been met, and it does not refer to the 30 day limb in section 213(6)(b).

The money claim is framed differently. Section 214(1)(a) turns on section 213(3) or section 213(6) not having been complied with, and the court's order under section 214(4) is mandatory once section 214(2) or section 214(2A) is satisfied. Protecting the deposit after the 30 days does not meet the requirement to do it within the 30 days, and doing it late does not undo the failure to do it in time. What is left to the court is whether it is satisfied of the conditions in section 214(2) or (2A) on the facts in front of it, and then the sum within the statutory range. This guide does not predict either, and it is worth taking advice on your own position.

Are there exceptions to the possession order rule?

A court can still grant a possession order in specific situations, even where there has been a problem with deposit protection. These exceptions are set out in section 215 of the Housing Act 2004. Section 215(4) says subsections (1) to (3), which contain the main restrictions, do not apply in relation to an order for possession made on Ground 7A or 14 in Schedule 2 to the Housing Act 1988, "whether or not any other grounds for possession are met". What matters is the ground the order is made on, not the ground you ask for. Furthermore, section 215(5) states that the restrictions do not apply if the deposit has been returned to the tenant in full, or with any deductions agreed with the tenant. The restrictions also fall away where an application to the county court has been made under section 214(1) and has been determined by that court, withdrawn, or settled by agreement between the parties.

What should I do now if I have missed the 30-day deadline?

Protect the deposit in an approved scheme, and give the prescribed information to the tenant and to any relevant person, meaning anyone who paid the deposit on the tenant's behalf under an arrangement with them, as section 213(10) defines. If you have protected the deposit but have not given the prescribed information to both, that is the part to do now, because section 215(3) is not met until section 213(5) has been. Keep a record of what you sent and when you sent it, bearing in mind that proof of sending is not the same as proof that the tenant received it, and not the same as proof that it was validly given.

Taking these steps matters because section 215 of the Housing Act 2004 restricts a possession order while the conditions in subsections (1) to (3) are not met, although those restrictions do not apply in the cases set out in subsections (4) and (5). It may not prevent a claim under section 214, and for most landlords in this position the practical first step is the scheme, and if a claim or a possession deadline is already running, advice comes first.

What evidence should I keep about the tenancy deposit?

Keep the records that bear on the two duties, from the moment you receive the deposit, rather than everything about the tenancy. This includes proof of the date you received the deposit, the certificate from the deposit scheme showing the date the deposit was protected, and a copy of the prescribed information that you gave to the tenant. Keep whatever shows how and when you sent it, such as the sent email or a certificate of posting. Those show dispatch. They are not themselves proof that the tenant received it, and receipt is not the same question as whether the information was validly given, so keep anything that shows the tenant acknowledged it. These records will be essential if you need to defend a claim from a tenant or if you need to show a court that you have complied with your obligations. Having a complete set of documents is a key part of managing the evidence you need for a tenancy deposit dispute.

Where can I keep my deposit paperwork?

VEYLO X is a software platform for renting and letting in England. Landlords can use it to keep records of a tenancy, such as the scheme certificate and the prescribed information, in one place. Protecting a tenant's deposit in an authorised scheme is the landlord's own legal duty, and VEYLO X does not protect the deposit for you and does not decide whether you have complied with the law.

VEYLO X for landlords

Common questions

Here are some common questions landlords ask about tenancy deposit protection.

How is the 30-day period for protecting a deposit calculated?

The 30 day period begins on the day the landlord receives the deposit money. This requirement was established by section 213(3) of the Housing Act 2004. The time limit was originally 14 days, but it was extended to 30 days from 6 April 2012 by section 184(2) of the Localism Act 2011. You must complete both the protection of the deposit and the serving of the prescribed information within this single 30-day window.

What is 'prescribed information' for a tenancy deposit?

Prescribed information is a specific set of details about the tenancy and the deposit that a landlord must give to the tenant. This is a requirement under section 213(5) of the Housing Act 2004. Article 2 of the Housing (Tenancy Deposits) (Prescribed Information) Order 2007 sets out the list. It includes the scheme administrator's contact details, the information in the scheme leaflet, the scheme's repayment, non-contact and dispute procedures, the amount of the deposit, the address of the property, contact details for the landlord, the tenant and any relevant person, the circumstances in which the deposit may be retained, and a certificate signed by the landlord confirming, to the best of the landlord's knowledge and belief, that the information is accurate and that the tenant was given the opportunity to sign any document containing it. Section 213(5) says the information goes to the tenant and to any relevant person, which section 213(10) defines as someone who paid the deposit on the tenant's behalf under an arrangement with the tenant, and section 213(6)(a) requires it to be given in the prescribed form or in a form substantially to the same effect.

Can a tenant make a deposit claim after they move out?

Yes, a tenant can still make a claim for a financial penalty after the tenancy has ended. Section 214(1A) of the Housing Act 2004 was added to make this clear. It allows a person who was a tenant to apply to the county court for the penalty payment if the landlord did not comply with the deposit protection rules during the tenancy. This means a landlord's liability for failing to protect a deposit does not end when the tenant moves out.

Does this apply if the deposit was not money?

No. The protection duties in section 213(1) to (6) apply to a "tenancy deposit", which section 212(8) of the Housing Act 2004 defines as "any money intended to be held (by the landlord or otherwise) as security". A deposit of property cannot be protected in a scheme. Section 213(7) says that no person may, in connection with an assured tenancy, require a deposit which consists of property other than money, and section 213(8) defines "deposit" for that purpose as a transfer of property held as security. Where property was taken, section 214(5) makes it recoverable by the person by whom it was given, and section 215(6) says the court may not make an order for possession until the property is returned to the person by whom it was given as a deposit.

Sources

The primary sources behind this guide. Where the law and a summary disagree, the law is what counts.

This article is general information, not legal advice. It covers England only and reflects the position as at November 2026. For the current rules, see the GOV.UK guidance on tenancy deposit protection, and consider free advice from Shelter or Citizens Advice for your own situation.

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