Deposit protection and Section 8

An unprotected deposit is the most common reason mandatory grounds fail.

Under the Housing Act 2004, landlords must protect any deposit in an authorised scheme (TDS, DPS, MyDeposits) within 30 days of receipt and serve the tenant with prescribed information about the scheme.

Failure to do either blocks the use of mandatory possession grounds (including Ground 8). It also exposes the landlord to a penalty of 1x to 3x the deposit on the tenant's counterclaim.

Check your protection status

Log into your deposit scheme account. Confirm the deposit is registered against this tenancy at this property in the tenant's name. Confirm registration date was within 30 days of receipt.

Find the prescribed information record

You should have served the tenant within 30 days with the prescribed information leaflet. Find your record: signed receipt from tenant, or the scheme's own evidence of service.

If you missed the 30-day window

You can still protect the deposit late, but mandatory possession remains blocked until you do. Returning the deposit in full to the tenant — even mid-tenancy — also clears the bar (you forfeit the security but unblock Ground 8).

If the prescribed information was not served

Same remedy: serve it now and wait, or return the deposit. Document everything.

The tenant's counterclaim risk

If a tenant is being evicted and discovers the deposit defect, they often counterclaim for 1x to 3x the deposit value. A £1,500 deposit could turn into a £4,500 counterclaim. Worth fixing the defect before serving Section 8.

Source: gov.uk Guide to the Renters' Rights Act 2025. Last verified 2026-05-09. This page is informational, not legal advice. For complex disputes, consult a solicitor.