Property rental income fell slightly in 2022 to 2023 to £47.4bn from £49.4bn in the prior year, figures show.
The latest figures from HMRC showed that 2.84 million unincorporated landlords declared income from renting property in 2022 to 2023, a fall from 2.86 million in 2021 to 2022.
The total income declared by these landlords came to £47.4bn of property income, which is slightly down from £49.4bn in 2021 to 2023.
The report continued that the average income from UK property stayed stable at around £16,700 in 2022 to 2023, a fall from £17,300 in 2021 to 2022.
Unincorporated landlords in London reported the highest level of property income at £11.29bn, followed by South East at £8.16bn and South West at £5.03bn.
HMRC added that there were 130,000 unincorporated landlords declaring furnished holiday letting income, a slight increase from 120,000 in the prior year.
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The total income declared from UK furnished holiday lettings made up £2.29bn of property income. This was equal to 5% of the UK rental market income and a fall from £2.5bn in the previous year.
HMRC noted that the total income from UK furnished holiday lettings rose by 67% in the five years to 2022 to 2024, driven by an “increase in both average furnished holiday lettings income and the number of individuals reporting furnished holiday letting income”.
The report found that total allowable expenses declared by landlords came to £22.98bn, with 88% of unincorporated landlords declaring allowable expenses. This is equal to 2.5 million landlords.
The most commonly declared expenses were residential finance costs at £6.87bn, repairs and maintenance at £5.6bn and other allowable expenses at £3.46bn.
The average amount of expenses declared stood at £9,200, a slight rise from £9,100 on the prior year.
