Property Guide Β· 2026/27
Tenancy Deposit Dispute Resolution: How Adjudication Works
When a landlord and tenant cannot agree on deposit deductions at the end of a tenancy, a free adjudication service β run by whichever scheme protected the deposit β settles the dispute using documentary evidence. This guide explains how it works.
Which Scheme Handles Your Dispute
England and Wales have three government-approved tenancy deposit protection schemes: the Tenancy Deposit Scheme (TDS), the Deposit Protection Service (DPS), and mydeposits. Whichever scheme your landlord or letting agent used to protect your deposit at the start of the tenancy is the one that runs the free dispute resolution service if a disagreement arises at the end. See our tenancy deposit protection guide for how to check which scheme applies to you.
Raising a Dispute
If a landlord proposes to deduct money from your deposit and you disagree, both parties are first expected to try to negotiate directly. If that fails, either party can submit the disagreement to the scheme's free alternative dispute resolution (ADR) service. Both landlord and tenant then submit their evidence and arguments online within a set deadline set by the scheme.
What Evidence Matters Most
- A detailed, dated check-in inventory with photos or video, ideally signed by both parties
- An equally detailed check-out report comparing condition at the end of the tenancy
- The signed tenancy agreement and any addenda
- Receipts, invoices or quotes for cleaning or repair costs the landlord is claiming
- Relevant written correspondence between landlord and tenant during the tenancy
Adjudicators decide almost entirely on the strength of this documentary evidence β verbal assertions with nothing to back them up carry very little weight.
Fair Wear and Tear
A landlord cannot use the deposit to restore a property to a βlike newβ condition. Fair wear and tear β the gradual, ordinary deterioration that happens through everyday living, such as carpet flattening in high-traffic areas or minor scuffs on walls β is not chargeable. Adjudicators routinely reduce or reject claims that fail to account for the length of the tenancy and reasonable use of the property.
How Adjudicators Decide
An independent adjudicator reviews the evidence from both sides and issues a binding decision allocating the disputed portion of the deposit, usually within a few weeks of both submissions being received. There is no appeal within the scheme itself β the decision is final as far as the ADR process is concerned.
The Small Claims Court Alternative
Either party can choose to bring a claim through the small claims track of the county court instead of, or (in rare cases) after, ADR. This carries a court fee and more formal procedure, and most tenants and landlords prefer the free, faster ADR route where the amount in dispute is modest.