Landlords in England and Wales are obliged to put deposits paid by landlords into a Tenancy Deposit Scheme. This third party keeps hold of the money and prevents a landlord from unlawfully keeping the cash in the event of a dispute with his tenant. Up until now, landlords in Northern Ireland have been exempt from the deposit scheme, which has attracted criticism from some quarters.
How will the scheme work?
The Northern Ireland Assembly has approved the scheme and it will come into effect on 1st April. Four administrators will be appointed to operate it and Nelson McCausland, Social Development Minister, is confident that it will help to minimise disputes between landlords and tenants and help provide protection for all parties.
“Tenants across Northern Ireland in the private rental sector can now be afforded the same protection as those in Great Britain. This is a positive development for the private rental sector.”
Tenancy Deposit Scheme welcomed
Student leaders have applauded the new scheme and call it: “a victory for students and other tenants” and the NUS-USI president is very happy the scheme has had the go-ahead.
“We hear horror stories of students and other people who have rented a house and at end of the contract have left it in excellent condition but have had their deposit withheld by an unscrupulous landlord,” said Adrienne Peltz.
Severe penalties
Not everyone is happy about the scheme, including the Landlords Association:
“It’s very onerous and the penalties here are going to be more severe than in the UK, for whatever reason.”
