Damage and missing items often lead to deposit deduction claims at the end of a tenancy. For tenancy deposit scheme SafeDeposits Scotland, damage is one of the main sources of claims. It’s important for both landlords and tenants to understand what qualifies as damage, and where fair wear and tear and betterment come into play. Similarly, a deposit claim could arise should there be items indicated on the check-in report that are nowhere to be found once the tenancy ends.

What is considered damage?

If an item or fixture provided by the landlord and recorded on the check‑in report is found to be damaged at the end of the tenancy, the landlord may wish to make a claim for replacement or repair. The inventory should clearly set out each provided item’s condition at the start of the tenancy so that the adjudicator can accurately compare any changes between the check-in and check-out reports.

It is important to understand that it is unrealistic to expect every item to remain in the same condition throughout the tenancy, particularly in longer tenancies. Fair wear and tear is an expected part of living in a rented property, and this should be taken into account before deciding whether or not a claim is appropriate. Adjudicators will always take both fair wear and tear and betterment into consideration.

Fair wear and tear

Fair wear and tear is the natural ageing and deterioration of a property and its furnishings over time. When a damage claim is made, the adjudicator will consider the extent to which fair wear and tear can be attributed. This involves looking at the item’s typical lifespan, how often it would be used, the length of the tenancy, and the number of occupants in the property.

Minor signs of everyday use such as faded wallpaper would not usually lead to an award for damage because they occur naturally over time. More significant issues, like a large hole or dent in a wall, would be more likely to see an award for damage.

Betterment

It is important that the landlord does not profit at the expense of the tenant’s deposit. Therefore, betterment is also considered when reviewing damage claims. The tenant’s deposit cannot be used to replace an old or worn item with something brand new of higher value. If only part of an item is damaged, the claim should reflect only the affected area or a proportionate contribution toward replacement.

Missing items

Missing items are another common source of disputes, particularly in furnished properties. An item is considered “missing” when it appears in the check‑in inventory but is not present at check‑out. This could include anything from furniture to cutlery and plates, or even keys that were never returned.

Items may also be considered missing if they have been replaced with something of a lower standard. In these situations, landlords may seek reimbursement for the cost of replacement, but they must also account for the age and condition of the original item.

Before moving out, tenants should review the check‑in report and ensure that all items listed on the inventory are returned, and in as close a state as possible to how they were originally listed. If the tenant does lose or damage an item, they should alert the landlord as soon as possible.