SA Guide

Serviced Accommodation

Short-term and holiday lets can generate 2-3x the income of traditional buy-to-let. Learn Airbnb strategies, pricing optimisation, compliance, and management.

What Is Serviced Accommodation?

Serviced accommodation (SA) is fully furnished, short-term rental property — typically booked nightly or weekly through platforms like Airbnb, Booking.com, and direct bookings. Properties are equipped with everything a guest needs: furniture, kitchen equipment, towels, toiletries, and Wi-Fi.

The 90-Day Rule

In London, you can only rent out your entire property on a short-term basis for up to 90 nights per calendar year without planning permission. Outside London, there is currently no national limit, but some local authorities are introducing restrictions through Article 4 directions. Always check with your local planning authority.

Revenue Potential

2-bed apartment, Manchester£120/night average

Occupancy rate (75%)274 nights/year

Gross annual revenue£32,880

vs long-term let (£1,100/month)£13,200/year

SA premium149% more

Running Costs

Cleaning — £40-80 per turnover (biggest operational cost)
Utilities — you pay all bills (£150-300/month)
Platform fees — Airbnb charges 3% host service fee
Wi-Fi and TV — essential for guest reviews (£40-60/month)
Consumables — toiletries, coffee, tea (£30-50/month)
Insurance — specialist SA insurance (£300-600/year)
Furnishing — initial setup £3,000-8,000 per unit
Management — if using a management company: 15-25% of revenue

Tax Benefits

If your SA property qualifies as a Furnished Holiday Let (FHL), you may benefit from capital allowances on furniture, mortgage interest relief as a business expense, and more favourable CGT treatment. FHL status requires the property to be available for let for at least 210 days per year and actually let for at least 105 days. Note: The government has announced changes to FHL tax treatment — check the latest HMRC guidance.