A landlord (or agent) may not serve a s21 notice at any time when a tenancy deposit is taken but which is not being held with a tenancy deposit scheme under 215(1)(a) of the Housing Act 2004 (the deposit is not being held in accordance with an authorised scheme).

So, if it takes 10 days to protect the deposit, no notice may be served before 10 days) or, if the deposit was not protected within 30 days under s215(1)(b) of the Act, (the initial requirements of such a scheme (see s213(4)) have not been complied with in relation to the deposit) and 30 days has passed, even if the deposit is subsequently protected, the landlord may only serve a s21 notice if any of the following is done:

  1. The deposit is returned under s215(2A)(a) or,
  2. Deductions from the deposit are agreed with the tenant under s215(2A)(a) or,
  3. If the tenant has already made an application for the penalty of up to 3 x deposit for the failure to protect the deposit or give prescribed information within 30 days (even if it was subsequently protected) that application must have been determined by the court, withdrawn or settled under s215(2A)(b).

If the deposit was not protected within 30 days and none of the above has been done with the deposit then, s215(1)(b) continues to apply which prohibits the service of a s21 notice until (1), (2) or (3) of the above are done.



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