Oral question asked in the House of Lords, by Baroness Hanham (Conservative). It was answered on Monday, 29 March 2010.

Housing: Shorthold Tenancies

Question: My Lords, is the Minister happy that the tenants’ deposit scheme is working properly? It has, I understand, been reported that landlords are bypassing the tenants’ deposit scheme by taking post-dated cheques, which does not seem to be quite the spirit.

Answer: Indeed, I have no particular data about that device being used to get round it. Obviously the three deposit protection schemes are very important. There is the custodial one in which it does not cost landlords anything to participate, other than the interest they lose in hanging on to the deposit. The two other schemes are insurance based, which obviously incur a premium from them. It is very important and I think it is right to say that if they do not participate in these schemes, they lose their right to just give two months’ notice to secure the property that is leased.

Secondary information

Type: Oral question
Reference: 718 c1185-6
Session: 2009-10
Oral question type: Supplementary
Chamber / Committee: House of Lords chamber
Subjects: Assured tenancies Landlord and tenant Rented housing Rents Shorthold tenancies Impact assessments
Link: View this Oral question on www.publications.parliament.uk