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England · Deposit Deductions · Fair Wear and Tear · Adjudication

Landlord Deposit Deductions UK 2026 — What You Can and Cannot Claim

What landlords can and cannot deduct from a tenancy deposit in England 2026: fair wear and tear, damage, cleaning, rent arrears, the deposit scheme adjudication process, and how to build a strong claim with inventory evidence.

10 min readUpdated 14 May 2026deposit-deductionstenancy-depositlandlord-compliance

What deposit deductions are permitted

  • Landlords can make deductions from the tenancy deposit for: unpaid rent (including any rent owed up to the tenancy end date), damage to the property or its contents beyond fair wear and tear, cleaning to restore the property to its check-in condition, and costs arising from breach of tenancy obligations (e.g. unauthorised alterations)
  • Landlords cannot deduct for: normal fair wear and tear (the natural deterioration of the property through ordinary use), pre-existing damage recorded in the check-in inventory, improvements the tenant has made with permission, or costs that are the landlord's maintenance obligation
  • The deposit cap under the Tenant Fees Act 2019 limits deposits to 5 weeks' rent (or 6 weeks' rent where annual rent exceeds £50,000). Deductions cannot exceed the deposit held
  • Proportionality: deductions must reflect the actual cost of repair or restoration — not the betterment cost. You cannot deduct the full cost of replacing a 7-year-old carpet that the tenant has damaged when the carpet had only 1–2 years of economic life remaining
  • Timing: raise proposed deductions with the tenant promptly after the tenancy ends. Waiting weeks to raise deductions after the tenant has vacated weakens your evidential position

Fair wear and tear — the critical distinction

  • Fair wear and tear is the natural, reasonable deterioration of a property and its contents through ordinary use over time. It is not chargeable to the tenant and cannot be deducted from the deposit
  • Examples of fair wear and tear: fading and slight discolouration of carpets and curtains, small scuffs and marks on walls after a long tenancy, minor scratches on worktops and hard surfaces, worn areas on frequently used flooring
  • Examples of damage beyond fair wear and tear: burns on carpets or surfaces, large holes in walls, broken fixtures or fittings, deep stains, pet damage not agreed in the tenancy, smashed tiles
  • Age and condition matter: a deduction for damage to a carpet that was new at the start of a 5-year tenancy will be lower than for a carpet damaged after 6 months — because the carpet has already depreciated significantly over the 5 years
  • The deposit scheme adjudicator will apply the fair wear and tear test — adjudicators are experienced and will reject claims that do not properly account for depreciation and fair wear and tear

Building a strong deposit claim — inventory evidence

  • A detailed, photographic check-in inventory signed by the tenant is the foundation of any successful deposit claim. Without a signed check-in record, you cannot prove the initial condition of the property
  • Professional inventory clerk: using an independent professional inventory clerk (member of AIIC or APIP) provides neutral evidence that carries weight in adjudication. The cost (typically £100–£200 per inspection) is recoverable as a deduction if the tenancy agreement provides for it
  • Check-out inventory: carry out the check-out inspection on the day of key return or immediately after. Photograph everything — particularly areas of alleged damage. Compare directly with the check-in photographs
  • Evidence of costs: obtain quotes or invoices from contractors for any repairs or cleaning. Adjudicators expect evidence of actual costs — not estimates. Professional cleaning invoices (not self-performed cleaning) are preferred
  • Communicate with the tenant: provide the tenant with a written schedule of proposed deductions within 10 days of the tenancy end. Give them the opportunity to respond. A negotiated settlement avoids the need for adjudication

The deposit scheme adjudication process

  • If the landlord and tenant cannot agree on deductions, either party can refer the dispute to the deposit scheme's free adjudication service. The three government-approved schemes (TDS, DPS, mydeposits) all provide adjudication
  • Adjudication is paper-based: both parties submit their evidence (check-in inventory, check-out inventory, photographs, invoices, correspondence). An independent adjudicator determines the appropriate deductions
  • The standard of evidence required: adjudicators look for clear photographic comparison between check-in and check-out condition, evidence of actual costs (invoices), and a clear connection between the alleged damage and the claimed deduction
  • Adjudicator decisions: the adjudicator's decision is final and binding within the scheme. If the landlord is dissatisfied, the only recourse is a county court claim for the balance — expensive and uncertain
  • Timeline: most adjudications are resolved within 28 days of all evidence being submitted. During adjudication, the disputed portion of the deposit is held by the scheme

Cleaning deductions — the most disputed category

  • Cleaning is the most common source of deposit disputes. Landlords can deduct for cleaning to restore the property to the standard recorded in the check-in inventory — not to a higher standard
  • If the property was professionally cleaned before the tenancy started (and this is recorded in the check-in inventory), the landlord can deduct the cost of professional end-of-tenancy cleaning if the property is returned in a significantly dirtier condition
  • Oven cleaning: a specific and common claim — oven cleaning invoices are regularly allowed by adjudicators where the check-out shows significantly worse condition than check-in
  • Garden: if the tenancy agreement imposed garden maintenance obligations on the tenant, deductions for garden restoration (cutting overgrown grass, removing accumulated rubbish) are permitted
  • Cleaning deductions must be evidenced by a professional cleaning invoice — adjudicators rarely allow self-assessed cleaning costs. Use a professional cleaning company and retain the VAT receipt

Templates recommended in this guide

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