Average tenancy deposits for England and Wales are just below £1,000 – with concerns that the amount will rise once the fees ban comes into force.

The amount of the deposit is usually six weeks’ rent.

According to The Deposit Protection Service, the average deposit in the first quarter of this year was £967.84, with that average pushed up by substantially higher amounts in London.

While very slightly down on the £970.18 average deposit in the last quarter of last year, it was up just over 4% on the first quarter of last year (£928.97).

Julian Foster, managing director at the DPS, said: “Over the last ten years the DPS has protected almost 5m deposits across England and Wales, and we’ve generally seen deposit sizes increasing during this time.

“Tenants need to consider that the deposit for their next property may be greater than the sum protected for their current residence and plan ahead so that they can make the house move they want to make without any financial barriers.”

Jackie Edney, head office manager at WJ Meade estate and letting agents in London, said: “We expect deposits to increase further once tenant admin fees are banned as letting agencies charge landlords a higher percentage to compensate.

“These changes will drive up rents, which will have a knock-on effect on deposits.”

The tenancy deposits of properties with a London postcode were the most expensive in the country (averaging £1,756.16), while those with Sunderland’s ‘SL’ postcode had the lowest average (£467.32).

Colchester’s ‘CO’ postcode experienced the greatest increase since the last quarter of 2016, with the average for the area increasing by more than a third, from £576.57 to £905.29 (33.97%).

Separately, corporate landlord Get Living will scrap all deposits for new tenants and return deposits to existing occupants. It will waive any damage and cleaning costs, provided the tenant is up to date with their rent.

Get Living owns 1,439 homes in East Village, the former London 2012 Olympics Athletes Village, and has further build-to-rent homes in the pipeline across the UK.

It is headed by former letting agent Neil Young, who said: “We launched Get Living four years ago this month and in that time our average deduction from deposits has been just a few days’ rent, with the majority of our residents getting their deposits returned in full.

“We have great relationships with our residents and, given they are taking such good care of our homes, why should we hold six weeks’ rent?”