The total property income declared by UK unincorporated landlords grew to £48.87bn in 2021-2022, new HMRC data has revealed.
The figure grew from £46.37bn recorded in 2020-2021.
The total income from UK property has increased by 10% in the five years between 2017-2018 and 2021-2022, spearheaded by an increase in both average property income and the number of individuals reporting this type of income — which rose to 2.82 million in 2021-2022 from 2.73 million in 2017-2018.
London landlords account for over one-quarter (26%) of all UK property income by unincorporated landlords, with the North East contributing the smallest proportion at 2%.
The average income from UK property remained relatively stable at around £16,700 between 2017-2018 and 2021-2022.
Over the five-year period, the lowest average annual UK property income stood at £16,300 in 2017-2018, with the highest at £17,300 in 2021-2022.i
The report also revealed different categories of expenses declared against property income, with the most common being rent, rates and insurance (67%), and repairs and maintenance (66%).
The largest category of expense by amount declared was finance costs, with £6.85bn claimed in 2021-2022 — which accounts for 29% of all expenses claimed against UK property income by unincorporated landlords.
Some 89% of all unincorporated landlords declared some form of expense to HMRC in the past tax year.
Total expenses declared by unincorporated landlords also climbed 6% between 2020-2021 and 2021-2022.
