Wales also Bans tenant fees
The Welsh legislation mirrors that in England in some ways, but in others, it is distinctly different. Read the English stance click here
There are key differences:
- No provision for optional payments. The legislation provides no explicit provision allowing for payments to be demanded as long as they are optional and there is a permitted payment offered alongside the charge.
- A different enforcement mechanism. The enforcement mechanism in Wales is totally different. Unlike in England where the system starts with a financial penalty and only if there is a second breach within 5 years is an offence committed. In Wales, every breach of the legislation is an offence and is prosecutable in the magistrates’ court immediately.
- Guidance. Like in England there is guidance which will be produced. However, unlike in England, in Wales authorities are required to have regard to that guidance and to comply with its main requirements. Precisely what it will ask of them is yet to be established.
- Deposits. Unlike in England the appropriate level of tenancy deposit is not fixed in the legislation and is to be decided later by regulations
- Prescribed information. Unlike in England, it is possible for the Welsh government to require that when taking a holding deposit, which is set at the same one week’s rent as in England, the tenant is given some prescribed information.
- Other differences. Welsh legislation does not say anything about contractual damages, which do not really need to be approved anyway as they are court awarded for breaches of contract, and simply states that default fees are permitted. However, they are subject to further limits both in terms of the permitted amount and in terms of the things that default fees can be charged for.
Read the official guidance here https://gov.wales/sites/default/files/publications/2019-08/letting-fees-guidance-for-landlords-and-letting-agents.pdf