Landlord Energy Allowance

Landlords have just two weeks to make use of a scheme that reduces their tax bill for making their property more energy efficient.

Under the Landlord’s Energy Saving Allowance scheme, landlords can claim up to £1,500 a year per rented property for buying and installing energy-saving products.

The allowance applies to cavity wall and loft insulation, solid wall insulation, draught-proofing, hot water system insulation and floor insulation.

But in the Budget last week, the Government confirmed the scheme would be coming to an end.

Landlords can claim the allowance until 1 April if they rent out their property as a business, or until 6 April if as an individual. Given that the Easter weekend falls on 3 and 6 April, this may bring the deadline forward even earlier.

The allowance does not apply if landlords are already claiming an allowance under the Rent a Room scheme, or if the property is being rented out as a furnished holiday let.

If renting out properties as an individual, landlords should claim the allowance when they fill in their self assessment tax return. Corporate landlords can claim it though the allowable business expenses section on their company tax return.

Natalie Holt