TENANTS renting homes in Dorchester are faced with having to pay the second highest deposits of anywhere in the country outside London and the south east, it has been claimed.

Statistics released by The Deposit Protection Service (DPS) show that county town residents have to splash out in order to get a home for rent.

Between April last year and March 2015 the average deposit paid to landlords for a rental property in Dorchester was £932.84, which puts it £112.12 or 13.66 per cent above the national average of £820.72.

Bath was the only place outside of London and the south east with a higher average for tenancy deposits.

Last week the Echo reported how Dorset was facing a housing crisis with the majority of homes out of reach for people looking to get on the property ladder.

Figures published by housing charity shelter showed just four per cent of properties were affordable for families who need at least two bedrooms.

The latest figures from the DPS shows that local residents also face a challenge when renting in the private sector with the high level of deposits required.

County town mayor Peter Mann admitted something needed to be done to make more homes in the area affordable for local people and those who work in the town.

He said: "I think it's very unfortunate that renting is difficult in Dorchester and we do need more affordable and more rentable accommodation at reasonable prices.

"Unfortunately there are a lot of people who need to work in Dorchester but have to travel in from outside and actually that also creates a traffic problem for the town.

"It would be better and I think most people would like it if they could afford to live and work in the same town."

Cllr Mann added: "There is a need to see what we can possibly do to improve the position."

Chairman of Dorchester Town Council's planning and environment committee Susie Hosford said: "It's a very disappointing figure because it is more likely to be people on a low income and struggling to get a home are going to be the most affected by it."

By law landlords must submit deposits from tenants to an authorised tenancy deposit protection scheme.

Managing director of the DPS Julian Foster said: "Tenancy deposits give landlords the security they need while their property is being rented out.

"Tenants are also provided with peace of mind when the DPS protects the money during their tenancy, it provides free, impartial adjudication if there is a dispute at the end of the tenancy."