Many Landlords, buy to let investors and letting agents set for further costs as tenant deposit scheme alters fee structure

The tenant deposit scheme was introduced in 2006 much to annoyance of many property investors, buy to let landlords and letting agents.
The schemes key objective was to act as a neutral arbitrator for tenants deposits to stop unscrupulous landlords from unjustifiably withholding tenant?s deposits. The scheme has of course got costs and it is a legal obligation that any landlord or letting agent holding a deposit is a member or has an agreed insurance or other agreed policy in place to hold and deal with tenant?s deposits.
The scheme has recently announced a new fee structure which has many in the residential property sector up in arms. What many fail to realise is that what is bad for landlords, property and buy to let investors is invariably bad for tenants. These costs or a best a proportion of these costs will of course end up filtering through to rental increases for tenants. Given that many tenants are facing challenges meeting their current rent obligations many in the industry find the timing at best staggering.