A smarter way to move home
One of the standout features of the Renters' Rights Bill 2024 is the introduction of lifetime deposits. This reform is designed to reduce the financial burden on tenants who are moving from one rental property to another. Instead of paying a full deposit upfront for a new home while waiting for the return of the previous one, tenants can transfer a single deposit from property to property.
How it works
The lifetime deposit scheme allows the existing deposit to follow the tenant, moving directly to the new landlord. The process is managed through an approved system that holds the funds securely, ensuring compliance and fairness for all parties. It is a simple idea with powerful implications making renting more affordable and more flexible.
Benefits for tenants
This change helps tenants avoid the cash-flow stress of double deposits. It also simplifies the process of moving, especially for those on tighter budgets or with families to support. Lifetime deposits give tenants greater mobility and freedom of choice, making it easier to find a home that fits changing needs without financial penalty.
What landlords need to know
For landlords, the lifetime deposit model provides the same level of protection as traditional deposits. The key difference is that funds are transferred via an approved scheme, reducing delays in the letting process. Additionally, this may result in faster tenant moves and fewer void periods, especially during high-demand periods such as summer.
Driving fairness and efficiency
The introduction of lifetime deposits is part of a wider push towards transparency and tenant protection in the rental sector. It represents a win–win for both tenants and landlords by removing common points of friction and encouraging smoother transitions between properties.
Looking forward
As the scheme is implemented in 2025, tenants and landlords alike will benefit from reduced paperwork, better affordability and improved confidence in the rental process. It is a practical reform that supports a more modern, tenant-friendly approach to renting.
Find out how lifetime deposits work
