Tenancy deposit dispute process: a step-by-step guide for UK landlords

At the end of a tenancy, you have a limited window to agree deductions with the tenant. If the tenant accepts your proposed deductions in writing, the scheme releases the money and the matter is closed. If the tenant disputes any part of your proposed deductions and you cannot reach agreement, either party can raise a formal dispute with the protection scheme.

All three approved schemes in England and Wales — the Deposit Protection Service (DPS), MyDeposits and the Tenancy Deposit Scheme (TDS) — offer free Alternative Dispute Resolution. The adjudication is binding: both parties agree at the start of the tenancy (via the prescribed information) that if they cannot agree, the scheme's adjudicator decides.

Disputes must be raised within the scheme's time limits, typically within three months of the tenancy ending. Check your scheme's rules. If neither party raises a dispute within the window, the scheme typically releases the deposit in the way it was last instructed.

The adjudicator can award the landlord some, all, or none of the disputed deductions. They cannot award more than was proposed; they can only decide what proportion of your claim is supported by the evidence.

Deductions that consistently succeed: professional cleaning to the standard evidenced at the start of the tenancy (supported by a professional check-in inventory and photos), repair of genuine damage beyond fair wear and tear (supported by photos, contractor invoices and proof the damage did not exist at check-in), and replacement of items broken beyond repair (supported by receipts showing original value and photos of damage).

Deductions that consistently fail: redecoration because the walls 'look tired' without a baseline photograph showing them in good condition, rent arrears deducted without providing a rent schedule and signed tenancy agreement, and replacement of items that show only normal wear and tear (carpets after a three-year tenancy, repainted walls after four years).

**Check-in inventory with photos.** A dated, signed inventory at the start of the tenancy is the single most important document. Without it, the adjudicator cannot establish whether a condition existed before the tenant moved in. Photographic evidence embedded in the inventory with timestamps carries more weight than a separate folder of images.

**Check-out inventory with photos.** A dated, signed or witnessed check-out report showing the condition at the end of the tenancy. If the tenant refused to attend check-out, note that in writing and record the condition independently.

**Contractor quotes and invoices.** For any cleaning or repair deduction, the adjudicator needs a quote before the work and an invoice after, from a named and contactable contractor. Invoices from yourself or a related party are viewed with scepticism without supporting market quotes.

**Receipts for replaced items.** If you are claiming for a replaced item (carpet, appliance, fixture), provide the original purchase receipt and a photo of the damaged item. The adjudicator applies a betterment calculation: if a three-year-old carpet is replaced, you can typically claim 40 to 60 per cent of the replacement cost, not 100 per cent.

**Tenancy agreement.** For any clause-based deduction (pet damage, garden maintenance, professional cleaning clause), submit the signed tenancy agreement with the relevant clause highlighted.

First, notify the tenant in writing of your proposed deductions, itemised clearly. Give them seven to ten days to respond. If they accept, instruct the scheme to release the money accordingly.

If they dispute: log into the scheme's portal and submit a dispute application. You will be asked to provide your proposed deductions, your supporting evidence and any correspondence with the tenant. The scheme notifies the tenant, who has a fixed period (typically 14 days) to submit their counter-evidence.

Do not submit evidence as one large undifferentiated PDF. Number your documents, label each one clearly ('Exhibit A: check-in inventory dated 14 April 2023', 'Exhibit B: professional clean invoice dated 18 April 2025') and reference them in a short covering statement. Adjudicators review dozens of disputes per week; a well-organised submission stands out.

From the date a dispute is raised, most schemes aim to complete adjudication within 28 working days. In practice this runs four to eight weeks end-to-end, depending on how quickly both parties submit evidence.

The adjudicator reviews the evidence in writing; there is no hearing. You will not speak to the adjudicator directly. The decision is issued in writing and is final (though either party can request a review on procedural grounds, not simply because they disagree with the outcome).

Once the decision is issued, the scheme releases the deposit within a few working days: the landlord's share to the landlord, the tenant's share to the tenant.

**No check-in inventory.** Without a record of starting condition, you cannot prove damage was caused by the tenant. The adjudicator defaults to the tenant's account.

**Claiming 100 per cent of replacement cost.** Betterment is always applied. A landlord who paid £800 for a carpet five years ago and replaces it with a new £900 carpet will typically be awarded 30 to 40 per cent of the replacement cost at most.

**Generic invoices.** An invoice from 'Bob's Cleaning, £350' without a description of work, property address and breakdown is routinely dismissed. The invoice must match the specific property.

**Conflating cleaning and damage.** A cleaning deduction covers bringing the property to the same standard of cleanliness as at check-in. A damage deduction covers repairs to items the tenant broke. Mixing these into a single line item creates confusion; itemise them separately.

**Late submission of evidence.** Schemes set hard deadlines for evidence submission. Missing the deadline means the adjudicator decides on incomplete evidence, usually in the tenant's favour.