The threshold for Assured Shorthold Tenancies will rise to £100,000 on October 1. According to the National Landlords Association this morning, the rise will be made retrospective on existing tenancies, almost certainly back to April 6.
The rise, from £25,000, will mean that thousands of contractual tenancies will now come under the AST umbrella, and many more tenants' deposits will have to be protected by one of the three Government-approved tenancy deposit schemes. Already, these are under considerable pressure.
Speaking to EAT, Simon Gordon, head of communications at the NLA, said: “The AST increase was broadly welcomed as an attempt to offer the same consumer protection to almost all tenants.
"However, it seems that a quirk of the process means the change will be retrospective and apply to all existing tenancies with rents between £25k and £100k. Although we’re still piecing together the facts, it seems that landlords not protecting deposits by October 1, 2010 will be in breach.
"We are told courts are being forewarned.”
More on this story in EAT on Monday.
.jpg)
Comments
Just change to Assured Tenancies for students as soon as one persons left its finished anyway.