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The Tenancy Deposit Scheme is applicable to assured shorthold tenancies, however it does not cover other types of tenancies. Along with the Tenancy Deposit Scheme, disputes will be resolved by Alternative Dispute Resolution (ADR).
All Landlords are mandated by statute to join a tenancy deposit scheme if they receive deposits from Tenants. This is to ensure that the Tenant’s deposits are secure.

According to the legislation, which came into force on 6 April 2007, sets out to protect Tenants’s deposits and to ensure they get back all or part of it at the end of the tenancy period.

Return of Deposit
Before a Tenant can get back his or her deposit, it has to be ascertained that the property is in the same condition in which the Tenant received it, not accounting for regular wear and tear. Furniture, furnishings and fixtures must be left in stellar condition with proof that there are no bills owing. Also a forwarding address will be needed.
Only when all the conditions above are met will the deposit be given back to the Tenant in full. If such proof is not provided, the Landlord or agent has the right to hold back the deposit until they are satisfied. As such, the Tenant has the responsibility to get proof to the Landlord or agent.
Disputes about the condition of the property or pending bills should be settled amicably. If this is not possible within 14 days, the dispute will go to the arbitration service of the Tenancy Deposit Scheme to which the Landlord or agent belongs.