Property rental income stats every ambitious landlord should know
HMRC’s latest data on property rental income – based on last year’s Self-Assessment tax returns – offers a wake-up call for landlords looking to stay ahead of the curve.

2nd April 2025
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Amy Dedman See profile
The majority of landlords are still individuals and dominate the sector, with around 2.84 million unincorporated landlords declaring rental income on their Self-Assessment tax returns. Yet, despite rising costs and inflation averaging 4.4% annually over the last five years, overall rental receipts have only increased 9% and remained nearly flat from 2022/23 to 2023/24.
In contrast, Furnished Holiday Lets (FHLs) saw a 68% jump in rental receipts over the same period. However, this lucrative tax regime ends next month, so if you own FHLs, now’s the time to prepare for the shift.
Where’s the money? The South West is the third largest area for property income, behind London and the South East.
But here’s where things get interesting:
1/3 of unincorporated landlords did not declare any expenses for rent, rates, or insurance which is surprising as all rented properties will need landlord insurance.
1/3 claimed nothing for repairs or maintenance – a basic and fully allowable cost.
58% of landlords reported no finance costs at all, suggesting no mortgages – or missed opportunities to claim.
40% didn’t deduct legal, management, or professional fees – including letting agents or accountant costs.
12% claimed no expenses whatsoever. Whether this is due to the £1,000 property income allowance, poor record-keeping, or lack of awareness, it’s a missed opportunity for tax relief.
Just over half of all landlords had property income of less than £10,000 implying that the majority of unincorporated landlords hold small portfolios.
On a final note, incorporation is on the rise. There are now almost 400,000 companies in the UK set up to hold rental properties with more being incorporated every year, three-quarters of them created since 2016, when mortgage interest relief began to phase out.
If you’re not reviewing your tax position annually, claiming all eligible expenses, or considering incorporation, you could be leaving serious money on the table.
Speak to Old Mill if you would like advice on whether you should incorporate or advice on whether you are claiming expenses against your rental property company, click here….
To discuss this and any financial and tax implications that may affect you, get in touch with our specialist property & construction advisers, click here….