Tenant signed and then pulled out - how can I keep the holding deposit?

Hi there, can anyone offer any advice or share their experience on the following scenario?

Our prospective tenants paid the holding fee and signed the contract, but then pulled out at 10pm the night before the tenancy was due to start, as they wanted to push the move-in date back by a month, meaning a loss of a months rent for us.

I know that we can pursue costs/damages etc through the small claims court for breach of contract, but does anyone have experience of how to keep the holding deposit? The tenant is refusing to cancel through Openrent, and if we push the button to cancel instead then the holding defaults to the tenant.

First advice - if that photo is you, and if that name is your real name, then change both as tenant can identify you

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Are you sure, that if the landlord cancels, it automatically refunds to the tenant? I can’t believe that is the case

https://help.openrent.co.uk/hc/en-gb/articles/115001490632-How-will-the-holding-deposit-be-treated

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