What is the Let Property Campaign?

The Let Property Campaign exists because HMRC recognised that many landlords, particularly accidental or part-time ones, had not realised rental profit needed reporting, or had simply fallen behind. It gives a structured way to catch up without immediately facing a formal enquiry.

It covers residential property let in the UK and overseas by individuals, including furnished holiday lettings and student or multiple-occupancy lets, though the exact tax treatment can vary by property type.

There is no standalone statute creating the Let Property Campaign; it operates as an administrative facility sitting alongside HMRC's general assessment powers under the Taxes Management Act 1970 and its penalty regime under Schedule 24 Finance Act 2007.

Once you register, HMRC expects you to work out rental profit for each year affected, applying the correct expense and allowance rules for that year, since property tax rules such as mortgage interest relief restrictions have changed over time.

The penalty you pay depends on behaviour and prompting. An unprompted disclosure, made before HMRC has approached you about the specific rental income, sits at the lower end of the Schedule 24 range. Waiting until after a nudge letter moves the case into the higher, prompted band.

Rental income held personally is generally reported through Self Assessment, separate from any limited company you run. The Let Property Campaign applies to that personal position, not to company-owned property.

If you have moved property into a company structure or use an SPV, check carefully which years' income was personal and which was company income, since only the personal element falls within this campaign.

You will owe the underpaid tax for each year, interest calculated by reference to the Bank of England base rate, and a penalty within the Schedule 24 range appropriate to your behaviour and prompting category.

Specialist support to calculate multi-year rental profit correctly is usually modest compared with the penalty difference between an unprompted and prompted disclosure. See /fees for details of our services and included tax investigation insurance.

Do not register before checking how many years are actually affected. Registration starts a clock, and running out of time can weaken your unprompted status.

Avoid using outdated expense rules from a different tax year. Allowable deductions, including mortgage interest treatment, have changed and must be applied year by year.

Do not ignore overseas rental property. The campaign explicitly covers foreign residential lettings where the individual is UK tax resident.