Self-catering and holiday lets

Renting out part or all of your home to private tenants is not normally considered business use. For short-term renting (for example a self-catering business or holiday let) you need a licence and might have to pay non-domestic rates.

Contact your local assessor if your property is both:

• available to let for 140 nights or more a year
• actually let for 70 nights or more in a financial year

The assessor will advise if your property, or part of it, might be liable for business rates and may ask for evidence of the property being let, or available to let. You must respond to any request for evidence within a specified period of:

• 56 days after the end of the financial year, or
• 56 days of the request

The assessor will apply a price per bed space on each property, based on its type, size and location, to produce its rateable value. Single bed space is the term used to describe how many people can sleep in the property.

You might also be liable for business rates if you run a guest house or a bed-and-breakfast operation for more than 6 people at any one time. You'll be liable for business rates regardless of how many days your house or rooms are available to let.