The Welsh Government has issued guidance on the upcoming Renting Homes (Fees etc.) (Wales) Act 2019.
There isn’t long now prepare for the ban, which comes into force in Wales on 1 September 2019. The guidance explains what landlords and letting agents can and can’t charge tenants for from 1 September.
About the ban
- Any payment a tenant is required to pay, unless permitted by the Act, is banned and is a “prohibited payment”. This is referred to in this guidance as “the ban”. Landlords and agents can’t require the grant of a loan to them, or require a person to enter into a contract for services with them as a condition of a tenancy.
When does the ban start?
- The ban starts when the Act comes into force, on 1 September 2019.
Does this apply to current tenancy agreements?
- Any tenancy agreement which is entered into prior to 1 September 2019 will not be subject to the requirements of the Act.
- However, the ban does not apply where a requirement to make a payment, grant a loan or enter into a contract for services, was imposed before 1 September 2019 or in respect of a requirement forming part of a tenancy agreement entered into before that date. So a tenant who signed a tenancy agreement on 31 August 2019 could still be required to pay for something which would otherwise be prohibited by this Act.
- The Act will apply when the term of that tenancy agreement has finished, and a new tenancy agreement is entered into.
Download the guidance now: