Published: 16 June 2025 | Category: Legal Updates
Knowing how to dispute deposit deductions in 2025 is essential for tenants across England and Wales. At the end of a tenancy, your landlord must either return your deposit in full or provide a detailed breakdown of any deductions. But when those deductions feel unfair, excessive, or unsupported, tenants have the legal right to challenge them. This guide walks you through every step to do just that — legally and effectively.
Why Deposit Deductions Cause So Many Disputes
More than 60% of deposit-related complaints to the Tenancy Deposit Schemes (TDS, DPS, MyDeposits) stem from claims over cleaning, damage, or missing rent. While landlords are entitled to recover legitimate costs, they often overreach. Deductions must be backed by evidence, proportionate to actual loss, and consistent with the condition recorded at move-in.
Many tenants don’t realise that they can formally dispute deposit deductions without going to court — and often win, especially when the landlord fails to comply with the rules.
Step-by-Step: How to Dispute Deposit Deductions
- Request a written breakdown from your landlord or letting agent. They are legally obliged to provide this.
- Compare the deductions with your check-in and check-out reports. Look for inconsistencies, exaggeration, or vague justifications.
- Gather evidence: Photos, inventory reports, dated correspondence, cleaning receipts, and anything else that supports your case.
- Challenge the deductions informally by emailing your landlord a written dispute with attached evidence and referencing the TLA Dispute Letter Template.
- Use the deposit scheme’s dispute process (TDS, DPS, MyDeposits) if your informal challenge fails. This is free, legally binding, and evidence-based.
Access our ready-made Deposit Deduction Dispute Letter to make this step easier.
What Landlords Can and Cannot Deduct
- ⚠️ Cleaning: Only if professionally cleaned at move-in and stipulated in the agreement.
- ⚠️ Damage: Must be beyond fair wear and tear, supported with dated photos or receipts.
- ⚠️ Rent arrears: Must match official rent records and be clearly documented.
- ❌ General wear and tear (e.g. worn carpets, faded paint) cannot be charged.
- ❌ Improvement costs or redecoration can’t be deducted under “betterment” rules.
Learn more via our Deposit Return Checklist.
What If My Deposit Wasn’t Protected?
Landlords must protect your deposit within 30 days of receiving it and provide you with “Prescribed Information”. If they didn’t, they lose the right to serve a Section 21 notice and you may be entitled to compensation of 1–3x the deposit value. See our Legal Support Hub to raise a case.
Using the Tenancy Deposit Scheme Dispute Service
Each scheme offers a formal ADR (Alternative Dispute Resolution) process. This is free and doesn’t require court proceedings. You’ll need to submit:
- Your tenancy agreement
- Check-in and check-out inventory
- Photos and correspondence
- Written statement of your dispute
Visit our Start a Claim page for guided support and document submission.
FAQs: How to Dispute Deposit Deductions
How long do I have to dispute a deduction? You should begin within 90 days of the tenancy ending, depending on the scheme rules.
Can I dispute even if I already accepted some money back? Yes. Accepting a partial refund doesn’t waive your rights to contest the rest.
Can landlords charge for redecorating? Only if damage is excessive and well documented. Not for wear and tear.
Is the deposit scheme’s decision final? Yes — unless you escalate to court. ADR rulings are legally binding.
Downloadable Legal Templates
Need Help Disputing Your Deposit?
The Landlord Association is here to support you. TLA members benefit from:
- Free legal templates
- Evidence review by our case team
- Fast document submission tools
