'Billions to be made' from lodgers

Date: 14/08/2008 13:40

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As the credit crunch bites, average homeowners can boost their income by thousands each year by renting out a spare room.

The group noted that in total, the 18.2 million households who have at least one uninhabited bedroom could raise as much as £63.4 billion each year from taking on a lodger.

Indeed, research from the group has indicated that around 1.6 million Britons are currently considering doing so in an effort to boost incomes in times of rising inflation and slowing spending.

Phil Cliff, director of Abbey Mortgages, commented: "Demand for rooms is likely to be fairly high too and with the government providing tax free incentives for landlords, now is certainly a good time for those considering taking in a lodger."

Abbey noted that current asking prices for lodger rentals stand at £289 per month.

Earlier research from the firm has shown that total expected summer holiday expenditure in the UK has fallen by £600 million to stand at £4.2 billion.

InsureandGo offers competitive travel and home insurance options for those looking to rein in spending.

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