Well! A landlord has been ordered to pay his tenants three times their original deposit because he didn’t place their deposit in one of the deposit schemes.
This is a great ruling which shows that landlords can’t avoid using the schemes. Earlier this year I was at a conference about the private rented sector in Scotland, and one of the main themes amongst delegates was lack of power to effectively enforce regulations. This result shows that the regulations can be enforced and is a success story for the deposit schemes.
For those reading who aren’t aware, all deposits must be held by one of the deposit protection schemes in Scotland. Currently these are:
My experience has been that it’s a simple and easy process. Landlords avoiding using a deposit scheme are not doing it because it’s difficult or costly.
The challenge is to ensure that all tenants are aware of their rights so that landlords are compelled to meet the regulations.