The average rental deposit fell over 10% in the six months following last June’s legislation capping deposits at five weeks’ rent. The same legislation also banned tenancy fees.
The average deposit in England was £1,098 in the six months before the cap was brought in. This dropped to £985 in the second half of last year.
Deposits dropped everywhere in England apart from the north-east, where deposits have gone up from £840 to £885.
The largest deposits are in London, where tenants paid £1,807 in the second half of last year, down from £1,961.
The lowest average deposits are in the east midlands, where tenants paid an average of £689 in the six months to the end of last December, down from £763.
The number crunching was done by tenancy deposit replacement provider Ome, a brand of insurance firm Hamilton Fraser which also runs My Deposits.
The North East will go up – the normal deposit was traditional just a month’s rent. Once the changes came in almost everyone is now taking 5 weeks’ rent.
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