The biggest representor of private landlords in the UK, the Resident Landlords' Association (RLA), has spoken out publicly about the difficulties tenants face in raising deposits.
This is the first time we have seen such a well-connected and established body acknowledge the issue, and we believe it goes to show our recent observations are true; we are very much in a tenant's market currently.
Responding to the Government’s call for information on the barriers tenants face when renting a property, the RLA stated that many tenants struggle to raise a 'second deposit', e.g. where one deposit is tied up in the property they’re due to leave and a second is needed to secure the property they wish to move into.
As such, the RLA believes it would be easier for all involved if a tenant's deposit could follow them from property to property, with the tenant making up any shortfall caused by deductions.
They propose the introduction of a tenancy deposit trust scheme that would see an account created and maintained by the tenant, "allowing for seamless transfer of a deposit from tenancy to tenancy". They go on to say there should be an insurable section that covers both sides, so that neither landlord loses out.