Rent a Room Scheme

MVT Registered Posts: 41 Regular contributor ⭐
Hi everyone,

I have a potential client who's contacted me regarding the rent a room scheme. I know that the current tax free limit is £4250 but he is actually renting the house with his partner and they want to ask his friend to move in and share the cost of the bills 3 ways. He will be charging £250 per month (£3,000 per annum).

I was just wondering if the £4250 relates to 1 person or jointly?

Many thanks in advance.


  • groundy
    groundy Registered Posts: 495 Dedicated contributor 🦉
    Per Household
  • MVT
    MVT Registered Posts: 41 Regular contributor ⭐
  • qwerty
    qwerty Registered Posts: 82 Regular contributor ⭐
    The rent-a-room scheme is per property. Interestingly, if the income is split between more than one person, than the rent-a-room relief if halved for each person.

    Therefore, say there were three owners who lived in a house, and they rented out one of the rooms, splitting the income 1/3rd each. They would each get £2,125 rent-a-room relief.

    If two of them lived elsewhere, those two would obviously not get rent-a-room relief, but the person who still lives there would still only get £2,125 rent-a-room relief.
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