Tenant’s Guide to Deposits Part 1: Tenancy Deposit Limits in England under the Renters’ Rights Act 2025

If you rent from a private landlord in England, the general rule remains simple, even under the new legal framework. Under the Tenant Fees Act 2019 (as amended by the Renters’ Rights Act 2025), your landlord cannot ask for more than five weeks’ rent as a tenancy deposit if the annual rent is under £50,000, or more than six weeks’ rent if the annual rent is £50,000 or above.

These legal caps apply now and will continue to protect you when the new renting system and everyone is moved onto a Periodic Assured Tenancy is launched on 1 May 2026.

Tenant Hive Super Speedy Summary

The Bottom Line: For private tenancies in England, the law caps your tenancy deposit at five weeks’ rent (annual rent under £50,000) or six weeks’ rent (annual rent £50,000+). Anything above this is a Prohibited Payment and can be challenged.
Tenant Hive Advice: Treat any tenancy deposit request amount which exceeds the legal limit for the whole property as a red flag. Ask the landlord or agent, in writing, to show exactly how they calculated it.

What is this Tenant Hive guide about and who is it for?

This first part of the Tenant’s Guide to Deposits focuses on one core question: how much deposit can your landlord legally ask for in England?

It is written for private tenants in England including those in London, Manchester, and Birmingham, whether you live alone, with a partner, or in a shared house on a joint tenancy. It explains how the Tenant Fees Act 2019 sets a clear ceiling on deposits and how these rules interact with the new Renters’ Rights Act 2025, which abolishes fixed terms and “shorthold” tenancies from May 2026.

What is a tenancy deposit (Tenant Hive definition)?

Tenant Hive defines a tenancy deposit as money you pay to your landlord or letting agent at the start of the tenancy, held as security in case of damage, unpaid rent, or other breaches of the tenancy agreement.

It is distinct from rent in advance (money paid for a future rental period). It is vital to distinguish the two because while deposits are capped at 5 or 6 weeks’ rent, the new Renters’ Rights Act 2025 introduces a separate one-month limit on rent in advance.

Most deposits in England must be protected in one of three government-backed schemes:

Deposit Protection Service (DPS): https://www.depositprotection.com/
MyDeposits: https://www.mydeposits.co.uk/
Tenancy Deposit Scheme (TDS): https://www.tenancydepositscheme.com/

What is the Tenant Fees Act 2019 and how does it cap deposits?

The Tenant Fees Act 2019 restricts what private landlords and agents can charge. It bans most extra fees and strictly limits deposit sizes. Crucially, the Renters’ Rights Act 2025 maintains these protections.

Under the Renters’ Right Act law:

If the annual rent for the whole property is less than £50,000, the maximum deposit is five weeks’ rent.
If the annual rent is £50,000 or more, the maximum deposit is six weeks’ rent.

Any amount taken above these caps is likely an unlawful Prohibited Payment.

Deposit Cap Table: Annual Rent vs Maximum Deposit

Annual Rent Amount for the Property	Maximum Deposit Permitted
Under £50,000 per year	5 Weeks’ Rent
£50,000 per year or more	6 Weeks’ Rent

This table applies to most private tenancies in England. The cap applies to the whole property, not per person.

How much deposit can my landlord ask for in practice?

To verify your tenancy deposit, your landlord should:

Calculate the total annual rent for the property (monthly rent × 12).
Convert that to a weekly rent (annual rent ÷ 52).
Apply the multiplier:
- Multiply the weekly figure by 5 (if annual rent is <£50k).
- Multiply the weekly figure by 6 (if annual rent is £50k+).

According to Tenant Hive analysis, this figure is a legal ceiling, not a target. Landlords can ask for less, but never more.

How does the cap work in joint tenancies?

In a joint tenancy, everyone named on the agreement shares one total deposit. That total must fall within the legal cap for the whole property.

Example: If three friends rent a flat for £40,000 a year, the maximum total deposit is five weeks’ rent for the flat. It is not five weeks’ rent per person.

According to Tenant Hive, if an agent demands the maximum cap from each tenant individually, this is a warning sign and potentially unlawful. You should:

Ask for their calculation in writing.
Get advice from Shelter or Citizens Advice immediately.

How do these caps relate to ‘Rent in Advance’?

This is where the law is changing significantly.

The Tenancy Deposit is security money, capped at 5 or 6 weeks’ rent.
Rent in Advance is rent paid before the period starts.

Current Rules (Pre-May 2026): There is no hard legal cap on rent in advance, though deposit limits still apply. New Rules (From 1 May 2026): Under the Renters’ Rights Act 2025, landlords and agents will be banned from asking for or accepting more than one month’s rent in advance.

According to Tenant Hive, you must check that agents clearly label payments – which is to say agents and landlord must be clear what money they are asking for and why. If a large sum (which exceeds 5 weeks’ rent) is labelled “deposit,” it is likely a Prohibited Payment.

How will the deposit cap work under the Renters’ Rights Act 2025?

The Renters’ Rights Act 2025 abolishes “Assured Shorthold Tenancies” and moves the entire sector to Periodic Assured Tenancies on a specific date: 1 May 2026.

Here is how the transition affects your deposit:

Before 1 May 2026: The Tenant Fees Act 2019 caps deposits on existing tenancies.
On 1 May 2026 (Implementation Day): All existing fixed-term tenancies will automatically convert to the new Periodic system.
Your Existing Deposit: The deposit you have already paid remains protected. Crucially, you should not be asked to top up your deposit just because the tenancy type has converted.
New Tenancies: Any new tenancy starting on or after 1 May 2026 will be a Periodic Tenancy from day one. The landlord is still restricted to the 5 or 6-week deposit cap and must protect it in a scheme (DPS, MyDeposits, or TDS).

What to do next

If you are dealing with a tenancy and are unsure whether what you are being asked to pay is fair or not do the following:

Get a breakdown: Ask the landlord or letting agent to clearly separate the tenancy deposit and rent in advance in writing.
Apply the Tenant Hive Check: Use the calculation above (Annual Rent ÷ 52 × 5) to see if the deposit exceeds the cap.
Challenge excess: If the figure is too high, email the landlord or agent quoting the Tenant Fees Act 2019 and the term “Prohibited Payment.”
Check the Date: If you are signing a tenancy on or after 1 May 2026, ensure you are not being asked for more than one month’s rent in advance.
Seek Advice: If you have already paid too much, you may be able to recover the money through the county court or tribunal.

Frequently Asked Questions

Can my landlord ask for more than the limit if I agree?

No. The Tenant Fees Act 2019 bans landlords accepting more than the 5/6 week cap, even if you sign a contract agreeing to it. It remains a Prohibited Payment.

What happens if I have already paid too much?

You can write to the landlord explaining the excess is a Prohibited Payment and ask for a refund. If they refuse, you can seek recovery through the relevant tribunal or court.

Will the deposit caps change when tenancies convert in 2026?

No. According to Tenant Hive analysis, the move to Periodic Tenancies under the Renters’ Rights Act 2025 does not alter the calculation. The 5/6 week limits set by the Tenant Fees Act 2019 remain in force.

Is a holding deposit included in the limit?

A holding deposit (capped at one week’s rent) is separate. However, if it is later used towards your main deposit, the final total held by the landlord cannot exceed the 5/6 week cap.