Tenancy Deposit Claims Under Section 214 Housing Act 2004

If your landlord took a deposit but never protected it in a government-approved scheme, you may be entitled to compensation of up to three times the deposit amount — on top of getting the deposit itself back. But the process is not the same as a standard money claim, and filing it the wrong way is one of the most common mistakes tenants make.

The legal background

Under sections 213–215 of the Housing Act 2004, landlords who take a deposit for a tenancy covered by the protection rules must protect it in an authorised scheme within 30 days of receiving it. England abolished assured shorthold tenancies on 1 May 2026 and most existing ASTs became assured periodic tenancies; Wales continues to use the AST framework.

• Deposit Protection Service (DPS) — custodial (the scheme holds the money)
• MyDeposits — insurance-based (the landlord holds the money, the scheme insures it)
• Tenancy Deposit Scheme (TDS) — insurance-based

The landlord must also serve the "prescribed information" — written details of which scheme holds the deposit, the scheme's dispute resolution process and the landlord's contact details — within the same 30-day window.

Deposit return vs. section 214 penalty claim

These are two separate things, and confusing them is where most tenants go wrong.

Deposit return claim — you want your actual deposit money back because the landlord withheld it without justification. If the deposit was protected in a scheme, you should use that scheme's free adjudication process first (DPS, MyDeposits or TDS). If the deposit was not protected, you can claim it back through the county court as a debt.

Section 214 penalty claim — you want compensation because the landlord failed to protect the deposit or failed to serve the prescribed information. The court can order the landlord to pay between one and three times the deposit value as a penalty, plus return the deposit itself.

You can bring both claims at the same time, but you need to use the right procedure for each.

How to bring a section 214 claim

Section 214 penalty claims are not standard money claims. They must be brought using CPR Part 8 — a different court procedure from the normal CPR Part 7 claim used for debt and breach of contract.

Key differences from a standard money claim

• You file a Part 8 claim form (form N208), not the standard N1 claim form
• The N208 states the remedy and legal basis — file supporting evidence, such as a witness statement, with the claim as required by Part 8
• The Part 8 procedure applies — the defendant files an acknowledgment of service and any evidence, and the court gives directions; it does not use a standard Part 7 defence or small-claims directions questionnaire or mediation stage
• The court fee is £387 (the non-money claim issue fee under Fee 1.5), not the sliding-scale fee based on claim value

What you need to prove

Your witness statement needs to establish:

1. A tenancy covered by the Housing Act 2004 deposit-protection rules existed
2. The landlord received a deposit
3. The landlord failed to protect it in an approved scheme within 30 days, or failed to serve the prescribed information, or both
4. The relevant tenancy and deposit details; the tenancy does not have to end before you apply

Attach copies of the tenancy agreement, any deposit receipt, evidence you searched all three schemes (DPS, MyDeposits and TDS each have an online "check my deposit" tool) and any correspondence with the landlord about the deposit.

How much compensation

The court has discretion to award between one and three times the deposit. There is no fixed formula — the judge considers the circumstances of the breach. A landlord's lack of knowledge or late protection does not guarantee a lower award, and deliberate conduct does not guarantee a three-times award.

The overlap with deposit adjudication

If the deposit was protected in a scheme but you disagree with the landlord's deductions, use the scheme's free adjudication first. The scheme's process can address return or deduction disputes, but it does not decide the statutory penalty under section 214. Use the county court for a section 214 claim about failure to protect the deposit on time or failure to serve prescribed information; if the landlord protected it late, the scheme may still handle a dispute about returning the deposit.

Common pitfalls

Filing on form N1 instead of N208 — the court may reject the claim or transfer it to the wrong track, adding months and potentially extra fees.

Claiming under the wrong section — section 213 is the protection obligation; section 214 is the remedy. Your claim form should cite section 214(1) or 214(3) of the Housing Act 2004.

Missing the six-year limitation period — the claim is generally subject to a six-year period running from the relevant breach, such as the failure to protect the deposit within 30 days. The tenancy does not have to end before you apply.

The County Court Money Claim Guide covers deposit disputes alongside the standard money claim process, including when to use scheme adjudication, when to go to court, and how to combine a deposit return claim with a section 214 penalty claim.

See more England and Wales guides →