Deposit held

[beaker]

We will be moving out of our flat where we have been for 1 year at the end of this month. rent has always been paid on time, all bills paid, all repair faults reported to landlady, garden keeped tidy. Damp patch in bedroom which was there when we moved in was not been reported to LL (as it is due to the condensation of single glazed window). she now wants our deposit to pay for a whole new window. I would dispute this, but she is holding our refereces for our new flat until we pay, jeopardizing our new lease.
do we have a leg to stand on?

[beaker]

must add the contract states all items for repair must be reported to LL, but as this was already there, we felt it was not our responsibility. We have reported other items which have needed repair to L on time.

[mind the gap]

Is your deposit protected in a scheme?