Editor's note: This brief was summarised by The Property AI Newsroom from a report by Property118. Read the original article for full details.

One Million Landlords Could Switch to Tenant Deposit Alternatives

More than one million landlords could end up using deposit alternatives if government plans to scrap insured tenancy deposit schemes go ahead, according to research reported by Property118.

The research, carried out by Zero Deposit, found that 9% of landlords would move directly to a deposit alternative in such a scenario, a figure the company calculates could represent about 266,736 landlords. A further 26% said their decision would depend on what the tenant wanted.

What This Means for Letting Agents and Inventory Clerks

The findings suggest deposit alternatives could see significant uptake among UK landlords should the government proceed with plans to scrap insured tenancy deposit schemes. With a substantial proportion of landlords undecided and basing their choice on tenant preference, letting agents may find themselves advising both landlords and tenants on the options available.

For inventory clerks, any shift away from traditional insured deposits towards alternative products could change how check-ins, check-outs and deposit-related disputes are handled, making familiarity with deposit alternative schemes increasingly relevant.

How many landlords ultimately make the switch will depend on the direction of government policy and, for a significant share of landlords, on tenant preferences.