UK Deposit Protection: 5-Week vs 6-Week Cap Rules

Tenancy deposits in England are governed by two distinct but related rules. The Tenant Fees Act 2019 caps the amount a landlord can take, and the Housing Act 2004 Part 6 requires that any deposit taken be protected in a government-approved scheme. Confusion about whether the cap is “five weeks” or “six weeks” is one of the most common reasons we see landlords inadvertently breach the law. This article unpacks the rules, the deposit-protection mechanics, and the consequences of getting either wrong.

1. The Cap — Tenant Fees Act 2019

Section 4 of and Schedule 1 to the Tenant Fees Act 2019 prohibit a landlord from requiring any payment from a tenant beyond a closed list of “permitted payments”. Schedule 1, paragraph 2 deals with the deposit cap.

The cap depends on the annual rent:

Annual rent is the rent payable in the first 12 months of the tenancy. So a tenancy at £900 per calendar month has annual rent of £10,800 (under £50,000) — the cap is 5 weeks. A tenancy at £5,000 per month has annual rent of £60,000 (over £50,000) — the cap is 6 weeks.

Source — Tenant Fees Act 2019, Sch. 1: https://www.legislation.gov.uk/ukpga/2019/4/schedule/1

2. How to Calculate “Five Weeks’ Rent” Correctly

The standard formula:

Maximum deposit = (annual rent ÷ 52) × 5

For a tenancy at £1,500 per month:

• Annual rent = £1,500 × 12 = £18,000
• Weekly rent = £18,000 ÷ 52 = £346.15
• 5 weeks = £1,730.77

So for a £1,500/month tenancy under £50,000 annual rent, the deposit cap is £1,730.77 — slightly more than five times the monthly rent figure that some landlords mistakenly use as a shortcut. Using “five times monthly rent” overstates the cap by about 8%.

For tenancies above £50,000 annual rent:

Maximum deposit = (annual rent ÷ 52) × 6

A £5,000/month tenancy yields:

• Annual rent = £60,000
• Weekly rent = £1,153.85
• 6 weeks = £6,923.08

3. What Counts as “Rent”

For deposit cap purposes, rent excludes the following items even if charged separately:

• Council tax
• Utilities (gas, electricity, water, broadband)
• TV licence
• Communications charges (phone, internet)
• Service charges in some HMO arrangements

Including these items in “rent” to push the annual figure above £50,000 and unlock the 6-week cap is a clear breach of the Tenant Fees Act and triggers civil and criminal penalties.

4. Penalties for Exceeding the Cap

A landlord (or letting agent) who takes a prohibited payment:

• commits a civil offence — financial penalty of up to £5,000 (Tenant Fees Act 2019, s.6(1));
• on a second offence within five years, commits a criminal offence punishable by an unlimited fine (s.12);
• cannot serve a valid Section 21 notice while the prohibited payment is held — though Section 21 is being abolished from 1 May 2026, the bar applied during transition periods (s.17);
• must repay the excess to the tenant.

5. Deposit Protection — Housing Act 2004 Part 6

Separately, any deposit taken on an Assured Shorthold Tenancy (and from 1 May 2026, on an Assured Periodic Tenancy under the Renters’ Rights Act 2025) must be protected within 30 days of receipt in one of three government-approved schemes:

• Deposit Protection Service (DPS): https://www.depositprotection.com/
• mydeposits: https://www.mydeposits.co.uk/
• Tenancy Deposit Scheme (TDS): https://www.tenancydepositscheme.com/

Housing Act 2004, s.213(3) requires the landlord to:

• pay the deposit into the chosen scheme within 30 days of receipt;
• give the tenant the Prescribed Information (s.213(5)) within 30 days of receipt; and
• give the tenant the scheme’s information leaflet within 30 days.

Source — Tenancy deposit protection: https://www.gov.uk/tenancy-deposit-protection

6. Custodial vs Insurance-Based Schemes

Two scheme models exist:

Custodial schemes are free to landlords; insurance-based schemes typically cost £25–£40 per tenancy. For a small landlord, custodial is the more straightforward choice.

7. Penalties for Failure to Protect

If a deposit is not protected within 30 days, or if the Prescribed Information is not given within 30 days:

• The tenant may apply to the County Court for an order under s.214 Housing Act 2004.
• The court must order the landlord to pay the tenant between one and three times the deposit amount (s.214(4)).
• The landlord cannot serve a valid Section 21 notice (during transition, in respect of Schedule 2 grounds, this still bites under s.215A).
• Until protection occurs, Ground 8 possession may be defeated as a procedural defence.

A £1,500 deposit poorly handled can therefore expose the landlord to a £4,500 court order plus loss of possession proceedings — a six-figure problem if the tenancy continues for years in dispute.

8. The Prescribed Information

The Prescribed Information must include (Housing (Tenancy Deposits) (Prescribed Information) Order 2007, art. 2):

• Amount of deposit and address of property.
• Name and contact details of the deposit scheme administrator.
• Name and contact details of the landlord and tenant.
• Circumstances under which all or part of the deposit may be retained.
• Procedure that applies when the tenancy ends.
• Confirmation that the landlord has provided the information accurately.
• Tenant’s countersignature (or evidence of receipt).

A common error is to give the tenant only the scheme leaflet without the Prescribed Information form — both are required separately.

9. RRA 2025 Continuity

The Renters’ Rights Act 2025 does not alter the deposit cap or the protection mechanism. Existing protections in the Housing Act 2004 Part 6 and the Tenant Fees Act 2019 carry over to Assured Periodic Tenancies from 1 May 2026.

What changes is that:

• The deposit cap continues to apply with the same 5-week / 6-week split;
• The protection deadline remains 30 days;
• Penalties remain 1× to 3× the deposit;
• The procedural bar on Section 8 (formerly Section 21) possession proceedings continues to apply where protection has not been completed.

10. Common Mistakes — Gyoseishoshi View

• Using “5 weeks of monthly rent × 12 ÷ 52” instead of the correct formula. Causes 8% overcharge.
• Including utilities in “rent” to claim the 6-week cap. Breach of Tenant Fees Act 2019.
• Holiday lets or company lets being protected anyway. Holiday lets and company lets are exempt; protection is required only on assured (now periodic) tenancies. Protecting unnecessarily creates administrative confusion.
• Forgetting the prescribed information. Ticking the “deposit protected” box without the Prescribed Information triggers full s.214 liability.
• Repeated tenancy renewals not re-confirmed. When a tenancy renews, the deposit must remain in the scheme — but Prescribed Information must be re-issued if the parties change. This is a frequent oversight when a co-tenant leaves and a new one joins.

11. The MmowW Scrib🐮 Workflow

Cell #8 (UK Lease) calculates the maximum deposit under the correct formula based on the user’s monthly rent input, generates the Prescribed Information document with all mandatory fields, and prompts the user to register with one of the three schemes. The output bundle includes a deposit return statement template for the end of tenancy, including how to apportion deductions for damages and unpaid rent.

Create your tenancy pack with Scrib🐮

¥22,000/month pass for unlimited access to all 18 document types across 7 countries — including deposit cap calculator, Prescribed Information form, and protection checklist. Start Free Preview →

Disclaimer

This article provides legal information, not legal advice. MmowW Scrib🐮 is a document preparation service operated by a licensed Gyoseishoshi (行政書士) office in Japan. We are not UK solicitors or barristers.

Sources

• Tenant Fees Act 2019, Sch. 1: https://www.legislation.gov.uk/ukpga/2019/4/schedule/1
• Housing Act 2004, s.213: https://www.legislation.gov.uk/ukpga/2004/34/section/213
• Government — tenancy deposit protection: https://www.gov.uk/tenancy-deposit-protection
• Government — Tenant Fees Act guidance: https://www.gov.uk/government/publications/tenant-fees-act-2019-guidance