A recent report from the HMRC states that PRS landlords’ income has fallen by 4% but for those renting out properties via Airbnb have seen their income increasing.

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In spite of ever increasing rents an HMRC report on PRS lettings’ activity finds that private landlords’ income dropped by 4% from £49.4 billion during 2020/21 to £47.44 billion for 2022/23.

In the same period the number of private landlords fell by 0.7% however during the same period the number of furnished holiday lets soared by 8.3%.

HMRC’s report surveyed 14 regions which found that in the main – 9 regions – suffered a drop in income, whilst there was no change for two regions and just three which experienced rises.

The report found the biggest drop in income was in London at 12.5% followed by Scotland (with imposed rent controls) where income fell by 6.9%.

It also reported that any rises were minor and the best increase was in the North West at less than 1%.

The average rental property income dropped from £17,300 in 2021/22 down to £16,700 in 2022/23,and an average of under £10,000 per annum.

The decreases when also taking into consideration the expected tax rises in October, ever increasing legislation has caused a respected leading tax, accounting and business advisory firm, to send out a stark warning to tenants that they could be facing being made homeless.