Legal Limits on Extra Fees and Charges for Welsh Renters

Renting in Wales comes with protections around what landlords or agents can charge you beyond the rent itself. Knowing your rights about extra fees and charges can save you money and reduce disputes. This guide covers what fees are legal, which are banned, and what to do if you think you have been overcharged in Wales.

Understanding Permitted and Prohibited Fees

Since the introduction of the Renting Homes (Fees etc.) (Wales) Act 2019, most upfront and renewal fees landlords or letting agents commonly charged are now banned in Wales.

What fees can landlords legally charge in Wales?

Only certain payments are allowed, known as “permitted payments”:

• Rent (as set out in your tenancy or occupation contract)
• Security deposit (capped and protected in a government-approved scheme)
• Holding deposit (to reserve a property, with legal limits)
• Payments for late rent (but only if set out in the contract, and must not exceed 3% above the Bank of England base rate)
• Payments for lost keys or security devices (but only to cover reasonable costs)
• Charges for contract changes (capped at £50, or higher if the landlord can show costs are higher)
• Payments for utilities or council tax (if the contract says you are responsible for them)

This list is strictly limited by law.

Which fees are banned in Wales?

Landlords and letting agents are not allowed to demand payment for things like:

• Viewing fees
• Tenancy set-up or administration fees
• Credit check or reference fees
• Renewal or check-out fees (except as described above)
• General cleaning charges at the end of your tenancy (unless for actual proven damage or cleaning that exceeds normal use)

If you are asked to pay a non-permitted fee, this is illegal under Welsh law.

Your Rights if Charged an Illegal Fee

If a landlord or agent tries to charge an illegal fee, you do not have to pay it. They cannot make you sign a contract or move into the property until you pay such a fee. If you have already paid, you can ask for the money back.

Who enforces the rules in Wales?

All renting and fee disputes in Wales are handled by Rent Smart Wales (operated by Cardiff Council on behalf of Welsh government) and your local authority’s housing enforcement team. For legal disputes, the Residential Property Tribunal Wales considers some cases.

Deposits and Holding Deposits: What Are the Rules?

There are strict rules around deposits in Wales, designed to keep your money safe and fair.

• Security deposits: Must be protected in a UK government-approved scheme (like Deposit Protection Service or mydeposits).
• Holding deposits: Capped at one week’s rent. If the deal falls through for a valid reason, you have a right to get this back (less any legitimate deduction as set out in writing).

Official Forms You May Need

• Deposit protection certificate (provided by tenancy deposit scheme, such as the Deposit Protection Service)
  When used: Your landlord must provide this within 30 days of receiving your deposit, as proof your money is protected.
  Example: If you move in and don’t get this, you can challenge your landlord or contact the scheme directly.
• Form RHW6 – Application to the Residential Property Tribunal Wales
  When used: If you need to dispute a fee or charge, or raise a housing-related complaint that can’t be resolved through Rent Smart Wales.
  View and download Form RHW6

What to Do If You’ve Been Charged an Illegal Fee

If you’ve paid for something not allowed by Welsh law, or have been asked to, take these steps:

• Write to the landlord or agent, explain which fee is banned, and ask for a refund (keep copies).
• If they refuse, contact your local council’s housing enforcement team or Rent Smart Wales to report the issue.
• If necessary, use Residential Property Tribunal Wales by completing Form RHW6 to escalate your complaint.

Summary: Fee Guidance for Renters in Wales

In Wales, nearly all extra rental fees are either prohibited or strictly controlled. You are protected from most admin or renewal charges. Always check official sources so you know exactly what payments are allowed before signing a contract or paying any sums beyond rent and deposits.

1. What is the maximum holding deposit I can be charged in Wales?
   It can be no more than one week’s rent. Anything above this is illegal.
2. Can my landlord charge me to renew my tenancy agreement?
   No, renewal fees are banned, though a small charge (usually £50) is allowed for contract changes at your request.
3. What if I’ve already paid an illegal fee?
   Request a refund in writing. If not returned, contact Rent Smart Wales or your local council for enforcement.
4. Can I be charged for cleaning at the end of my tenancy?
   Only for specific cleaning costs proven to be above normal wear and tear. Blanket end-of-tenancy cleaning fees are banned.
5. Who should I contact if my landlord refuses to return a banned fee?
   Contact your local council’s housing team or Rent Smart Wales to report the breach. They can issue fines and order refunds.

Need Help? Resources for Renters

• Rent Smart Wales: Main enforcement and guidance body for renters and landlords in Wales.
• Residential Property Tribunal Wales: Handles official tenancy disputes and appeals.
• Welsh Government Renting Homes Guidance: Up-to-date rules and legislation for tenants in Wales.
• UK Government Tenancy Deposit Protection: Wales
• Your local council’s housing team: Search for your local council here.

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1. Renting Homes (Fees etc.) (Wales) Act 2019: official legislation
2. Deposit Protection requirements: UK Government explanation
3. Rent Smart Wales enforcement: official site
4. Residential Property Tribunal Wales: case guidance
5. Deposit Protection Service: government-approved scheme
6. Find your local council: official directory

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