The Tenant Fees Bill has passed its final reading at the House of Commons, meaning that it will soon gain Royal Assent and become an Act of Parliament.
The Bill states that from 1 June 2019, agents will no longer be able to charge fees to set up or renew a tenancy in the private rented sector.
In addition to this, security deposits will be capped at five weeks’ rent, amended from the originally touted amount of six weeks’ rent.
Arla Propertymark chief executive David Cox comments: “The tenant fees ban is now an inevitability, and agents need to start preparing for a post-tenant fees world. Following its passage in the House of Lords last week, this afternoon the Tenant Fees Bill passed its final hurdle in the House of Commons.”
Citizens Advice chief executive Gillian Guy adds: “This is a landmark moment for the millions of people who rent privately.
“For too long families and other renters have had to hand over hundreds of pounds on unfair and uncompetitive letting fees every time they moved home.
“We look forward to working with the government to do even more to strengthen the hand of the growing number of renters in a market where they have little bargaining power.”