Monday, 1 September 2014

More homeowners open their doors to lodgers

Renting out a room can be a flexible, tax-free and convenient way to release extra cash from your home

Not everyone likes the idea of a longer queue for the bathroom in the morning. Yet a growing number of homeowners are enjoying a tax-free income boost by taking in a lodger.  

Householders can receive up to £4,250 tax-free in rent each year, courtesy of the government's Rent a Room scheme. According to the latest figures from insurance firm LV=, the number of people renting a spare room has nearly doubled in the past five years: 2.7% of UK homeowners now have a lodger, compared with 1.4% in 2009. 

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