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What is Tenant referencing?
Last verified 31 October 2026
Tenant referencing is the set of checks a landlord or agent makes on a prospective tenant before the let, such as affordability, previous landlord references and right to rent. Landlords and agents can still run referencing checks to assess whether a tenancy is affordable and sustainable.
Why it matters to landlords
Under the Renters' Rights Act, a landlord cannot discriminate against potential tenants who receive benefits or who have children, so a reference decision should be based on affordability and the other checks, not on those facts. Referencing is not on the permitted payments list in the Tenant Fees Act, so you cannot require the tenant to pay for it. GOV.UK's guidance gives a combined fee for arranging the tenancy and a reference check as an example of a prohibited payment.
The money you can require at this stage is limited. A holding deposit can be at most one week's rent. Tenancy deposits are capped at five weeks' rent where annual rent is below £50,000. You also cannot ask for rent before the agreement is signed. These rules are for England. Scotland and Wales have separate rules.
Example
A letting agent offers Joanna a flat at £900 a month and her application is referenced. The agent runs the checks at its own cost. A holding deposit can be at most one week's rent, about £207 here, and the agent cannot charge a £50 referencing fee on top.
Landlord Compliance Checklist 2026 (UK) →