And, tenants must be provided with the same prescribed information and tenancy clauses in their agreements that would be used for any other AST.
To assist its members through the changes, the Tenancy Deposit Scheme, TDS, is taking steps to ensure that agents fully understand what the law expects of them.
"We are drawing up guidelines to help smooth the transition. To ensure that these guidelines prove valuable to our members, we are holding consultations with a representative sample of letting agents and corporate landlords before publishing them," explained Michael Morgan, Acting Head of Adjudication for the TDS.
As a result of the changes, it will no longer be necessary for the Tenancy Deposit Scheme for Unregulated Agents, TDSRA, to operate after October 1. However, TDS will continue to adjudicate deposit disputes involving tenancies that fall outside the AST criteria, subject to the agreement of both parties.
Added Michael Morgan, "Adjudicating these disputes means we are continuing to offer a full service to members of the Tenancy Deposit Scheme that is unrivalled in the field of tenancy deposit protection."
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