Sanctions for non-compliance with the tenancy deposit scheme

Since 6 April 2007, landlords are required to join a tenancy deposit scheme to protect any deposit paid by a tenant under a residential shorthold tenancy. The deposit must be protected and prescribed information about the scheme must be given to the tenant within 30 days of receipt of the deposit.

One of the sanctions imposed on a landlord who does not comply with the above requirements is that the landlord cannot serve a notice under section 21 of the Housing Act 1988 in order to regain possession of the property.

In R (Tummond) v Reading County Court and another [2014] EWHC 1039, the High Court have established when this sanction for non-compliance will be triggered. The landlord had served a section 21 notice on the tenant on the same day that the tenancy was entered into. The tenant argued that the notice was invalid because, at the time of service, the landlord had not yet protected the deposit in a tenancy deposit scheme, although the landlord did subsequently protect the deposit within 30 days of receipt.

The Court held that sanctions for non-compliance would only apply if the landlord failed to comply within the requisite 30 day period. The landlord had complied within 30 days and, as such, the section 21 notice was effective, even though it was served before the deposit was protected in the tenancy deposit scheme.

Please note that this information is provided for general knowledge only and therefore specific advice should be sought for individual cases.

For further information, please contact Edward Vaughan at or Kenny Friday at