Letter before court action: Deposit compensation

Tenancy deposits must be protected with a scheme within 30 days if you paid a deposit for:

• a private assured tenancy from 1 May 2026

• an assured shorthold tenancy (AST) from 6 April 2012

Your landlord or agent must also give you written information about the scheme they use within 30 days.

They must keep your deposit protected for your whole tenancy.

You can claim compensation if your landlord or agent breaks these deposit protection rules.

You can ask for compensation of up to 3 times the value of your deposit.

Check the steps for claiming compensation.

Send a formal letter before court action

You need to do this before you apply to court.

It gives your landlord a chance to put things right.

The letter warns them your next step will be court action. It is called a 'letter before claim' or 'letter before action'.

Landlords and agents may negotiate or pay you the compensation if they get a formal letter.

So you could get the compensation without going to court.

These letter templates are for when the landlord has broken deposit protection rules.