Letting agents in Wales will lose an average of £181.15 in fees per tenancy as from this weekend.
The calculation is from rental technology platform Goodlord.
The tenant fee ban comes into force in Wales on Sunday, September 1.
There are key differences in the Welsh legislation compared with the English equivalent:
- There will be no limit to security deposits in Wales.
- The Welsh legislation could prescribe default charges which go beyond just missing and damaged items or unpaid rent. They could go on to include missed appointments and instances where a landlord is contacted out-of-hours.
Under the new legislation, landlords or agencies found charging banned payments face an initial fixed penalty notice of £1,000.
According to data from Goodlord, average rents in Wales have risen by 8.6% since January, ahead of the ban.
However, Wales remains one of the most affordable regions in the UK, with an average monthly rent of £756 in 2019, less than half of that paid by tenants in London, where the average monthly rent is £1,641, and 26% less than the overall UK average of £906 a month.
Comments (2)
Its not ‘Rocket-science to anyone who understands business, – that costs get passed onto the customer.
Political parties only understand votes, not business and unfortunately Tenants can’t see past the media hype that Govt are ‘ initially’, doing something that is Claimed to help them – but with more damaging consequences later down the line.
I’ve come to the conclusion that almost all decision-making in this country is taken by those with the least understanding and it is because there is only time enough to become *either* and expert in a particular field/industry OR a decision-maker/politician. In order to reach positions of real power, you need to do certain things/be in the right places/’befriend’ the right people, which is itself a full time, long-term job and therefore cannot wholesale focus on, nor be intimately acquainted with the everyday nuances within the industry you will ultimate take decisions on…!