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On what basis does the agent believe that the tenant could be given more time in the property?
It's extremely unlikely if an order for possession was made by the Court without it being suspended (ie. to give the tenant time to clear the arrears).
In any event if the tenant does not vacate then apply for a warrant for execution by the Court bailliffs is your only option and you should avail yourself of it.
If the tenants disputes the deposit return then you will have to initiate the dispute resolution process provided by the tenancy deposit scheme provider who is holding the deposit. You can refer the tenant to this.
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