Today’s Queen’s Speech confirmed, that the Conservative Manifesto promise to introduce, “Lifetime Deposits”, will be on the legislative programme for the new Government.
The idea, also known as tenancy deposit passporting, essentially means that a deposit can be transferred between properties and landlords without a tenant needing to find a temporary second deposit after they leave a tenancy.
The Ministry of Housing, Communities and Local Government (MHCLG) have written to members of the Tenancy Deposit Protection Working Group, which was set up by the Ministry to explore changes and innovation within the current tenancy deposit process. They explain that they intend to get the ‘Lifetime Deposits’ concept into law at a pace and have instructed the group to move to a second phase of the developing workable models for the imminent implementation of the policy.
A timetable is being drawn up in the next couple of weeks for the group to deliver this piece of work and it is expected to start on the programme, very early in the New Year.
It is likely that the conclusions will lead to a proposal that will form part of the forthcoming Renters’ Reform Bill which the Government have promised will be put before Parliament during the current session. Eddie Hooker of mydeposits who sits on the Working Group, told LandlordZONE. “We have been expecting this announcement for a little while and the group has been looking at the idea as part of our work. Now this is an official Government objective we will actively embrace the challenge and opportunity of this major reform to the deposit process and to deposit protection”