Concern Over Safe Rent Deposit Levels in Highlands - David Stewart MSP

9th April 2015

Highland MSP, David Stewart has expressed his "deep concern" over low levels of private rented sector deposits that are registered with a Tenancy Deposit Scheme, which is required under legislation, in the Highlands.

Figures revealed by SafeDeposits Scotland who take on average 60% of the Tenancy Deposit Market show that only 61% of landlords across Scotland are complying with legislation which requires private rent deposits to be registered.

In the Highland 85% of the Private Rent Sector is comprised of properties let out through a letting agent or by a private landlord. On average 75% of landlords take deposits, however there is a compliance rate of just 48% across the Highlands, 13% lower than the overall Scottish compliance rate.

Commenting David Stewart MSP said:"The low level of private rent deposits being registered by landlords in the Highlands is deeply concerning.

"With over 12,000 private rental properties registered in the Highlands there are thousands of people who will pay landlords a deposit before moving in to a property. Ensuring landlords and letting agents are registering deposits in a safe and secure way, so that any deposit can be returned to the tenant at the end of the tenancy, if they have met the terms of their tenancy agreement is vital to ensure that people aren't being ripped off."

“With under half of landlords compiling with Tenancy Deposit Scheme legislation in the Highlands, well below the Scottish average, it is worrying that deposits may not be returned or held properly by unscrupulous landlords, and are more difficult to recover if there is a dispute between the tenant and landlord."

“I would encourage both landlords to register to ensure they comply with legislation and do not face fines for non compliance and also advise tenants to ensure any agreement they do enter into ensures their deposit is held safely and securely through a registered tenancy deposit scheme.”

Jen Paice, CEO of the not-for-profit SafeDeposits Scotland, the country's leading tenancy deposit scheme, said:“It's great that over 60% of landlords in the private rented sector are complying with the regulations but it’s crucial that those who haven’t yet registered do so soon, for their sake of their tenants as well as themselves.

“The compliance rate in the Highlands is low and while there may be some mitigating reasons contributing to this, we would urge any landlords in the area to make sure they are abiding by the new regulations. Having your deposit protected in a not-for-profit neutral scheme is a no-brainer and to stay on the right side of the law, it is now essential to use a Scottish Government approached scheme such as ours.”