Key money
A prohibited payment for the grant or renewal of a tenancy.
2 min read · Updated 2 August 2026
Overview
Key money is any payment demanded simply for granting, renewing or continuing a tenancy. It is a prohibited payment under the Tenant Fees Act 2019 and must be repaid; charging it can also block a possession claim until repayment is made.
Legal requirements
- Only rent, a capped deposit, a capped holding deposit and a short list of default fees are permitted.
- Penalties start at up to £5,000 and rise for repeat breaches.
Practical guidance
- Charging for a 'contract fee', 'admin fee' or 'renewal fee' is unlawful — build costs into the rent instead.
This wiki entry is general information for UK landlords and letting agents, not legal advice. Rules differ across England, Wales, Scotland and Northern Ireland — check your local requirements or take advice before acting.