Are Landlord Renewal Fees Legal for Scottish Renters?

If you rent a home in Scotland and your contract is up for renewal, you may wonder whether your landlord or letting agent can charge you extra fees for continuing your tenancy. Understanding your rights on renewal fees is key to avoiding unfair charges and making sure you're treated legally and fairly under Scottish law.

What Are Renewal Fees?

Renewal fees are charges some landlords or letting agents attempt to impose when a tenancy comes to an end and either moves to a new fixed period or simply continues. Common renewal-related fees might include:

• Charges for extending or renewing your tenancy agreement
• Admin fees related to issuing a new contract or document
• Charges stated as 'contract negotiation' or 'renewal processing' fees

In Scotland, the law is clear about what a landlord or agent can and cannot charge.

Is It Legal for a Landlord to Charge Renewal Fees in Scotland?

No. Landlords and letting agents are not permitted to charge tenants renewal fees in Scotland. The law considers most fees connected to granting, renewing, or continuing a private residential tenancy to be unlawful. This is set out in Section 89 of the Rent (Scotland) Act 1984, as updated by the Renting Homes (Fees etc.) (Scotland) Regulations 2012 and supported by guidance from the Scottish Government.

What Can Landlords Charge For?

Landlords and letting agents in Scotland may only charge:

• Rent
• A refundable tenancy deposit (capped at no more than two months' rent)
• Utilities and council tax, if agreed in your contract

Any other fee or charge—including a renewal fee—is considered an "illegal premium" under Scottish law.

What If My Landlord or Agent Requests a Renewal Fee?

If you're asked to pay a renewal, admin, or contract charge, you are not legally required to do so. You can refuse the payment and ask for the fee to be removed from your bill or paperwork. It's unlawful for a landlord or agent to make you pay any such fee when renewing your tenancy.

Practical Steps if Charged an Unlawful Renewal Fee

• Inform your landlord or agent—in writing—that the fee is not permitted under Scottish law and ask them to remove it.
• Keep copies of all communications and receipts.
• You may contact your local council's housing department for support.
• If the fee has already been paid, you are entitled to ask for a full refund.

How to Recover Unlawful Renewal Fees

If an unlawful renewal fee has been charged or taken, you can ask for it to be returned. If your landlord or agent refuses, you have the right to apply to have the money repaid through an independent tribunal.

Relevant Official Forms and How to Use Them

• Application to the First-tier Tribunal for Scotland (Housing and Property Chamber)
  
  • Form: Application to the First-tier Tribunal (Tenancy matters) (no official number)
  • When to Use: If your landlord or agent refuses to return a fee that is not permitted (such as a renewal charge).
  • How to Use (Example): Fill in the application detailing the fee dispute, include evidence (emails, receipts), and send it to the tribunal. They may arrange a hearing to decide if the fee must be refunded to you.

The First-tier Tribunal for Scotland (Housing and Property Chamber) is the official body dealing with most disputes between tenants and landlords in Scotland, including illegal charges.

Relevant Legislation

• Rent (Scotland) Act 1984, Section 89 (Premia)
• Renting Homes (Fees etc.) (Scotland) Regulations 2012
• Scottish Government – Private Residential Tenancies: Tenant Guide

All tenants in Scotland are protected by these regulations, regardless of their landlord or letting agent.

Frequently Asked Questions About Renewal Fees in Scotland

1. Can my landlord or letting agent charge me a fee to renew my tenancy in Scotland?
   No, it’s illegal for your landlord or agent to charge any renewal, admin, or contract fees when you continue or renew your tenancy.
2. What should I do if I have already paid a renewal fee?
   Ask your landlord or agent to refund the fee. If they refuse, apply to the First-tier Tribunal for Scotland (Housing and Property Chamber) to recover your money.
3. Is it ever legal for a landlord to charge admin or paperwork fees in Scotland?
   Generally, no. The law only allows rent, refundable deposits (with limits), and payments for utilities or council tax if your contract says so.
4. Do I need to sign a new contract for my tenancy to continue?
   Not always. Many Scottish tenancies automatically become "rolling" (periodic) when a fixed term ends, with no need to sign anything new unless both parties wish to do so.
5. Who can help if I’m being charged an illegal fee?
   Your local council, Citizens Advice Scotland, or the Housing and Property Chamber can support you in challenging unlawful charges.

Conclusion: Key Takeaways for Scottish Renters

• It is unlawful for landlords or agents in Scotland to charge renewal or administration fees when a tenancy is renewed or continued.
• Any illegal fees paid can be reclaimed by applying to the First-tier Tribunal for Scotland (Housing and Property Chamber).
• For official guidance and to challenge unfair fees, always use official government resources.

Staying informed helps you stand up for your rights and avoid unfair rental costs in Scotland.

Need Help? Resources for Renters

• mygov.scot – Private rental rights and responsibilities
• First-tier Tribunal for Scotland (Housing and Property Chamber)
• Citizens Advice Scotland – Renting a home
• Scottish Government – Tenant Guide

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1. Rent (Scotland) Act 1984, Section 89
2. Renting Homes (Fees etc.) (Scotland) Regulations 2012
3. First-tier Tribunal for Scotland (Housing and Property Chamber)
4. Scottish Government – Private Residential Tenancies: Tenant Guide
5. mygov.scot – Private rental rights

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