UK Rental Income Calculator 2026

Calculate your net rental income after expenses, mortgage interest relief, and income tax. See how much you'll take home from your buy-to-let property and understand the impact of tax changes.

How rental income is taxed

Rental income from UK property is taxed as savings and investment income. You can deduct allowable expenses like letting agent fees, repairs, insurance, ground rent, and service charges. Mortgage interest relief is restricted to the basic rate (20%), so higher-rate taxpayers no longer get full relief. Furnished properties can claim a 10% wear and tear allowance on the gross rent (excluding bills).

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UK Rental Income Calculator 2026 — Landlord Tax Planner Free

Free UK rental income calculator for landlords. Estimate net rental income after expenses, mortgage interest relief, and income tax. Plan your buy-to-let finances.

Gross Rental Income£14,400£1,200 × 12 months
Allowable Expenses£00% of gross
Net Rental Income£14,400
Tax on Rental Income£2,880
Net After Tax£11,520£960/month | Yield: 100%

Income & Tax Breakdown

Key rules for 2026/27

Property allowance: If your gross rental income is under £1,000, you don't need to declare it. Between £1,000 and £2,500, you must notify HMRC. Above £2,500, you must file a Self Assessment return. Mortgage interest restriction: You can only claim a basic rate (20%) tax reduction on your mortgage interest costs, not deduct them from your rental income. Furnished holiday lettings (FHL): From April 2025, FHL rules are abolished — all UK property income is taxed the same way.

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