Implications of airbnbing my house while recieving in Employment Support Allowance (new style/contribution based)

Implications of airbnbing my house while recieving in Employment Support Allowance (new style/contribution based)

Im currently living in my house just as a residence while receiving ESA (Employment Support Allowance) which is not means tested- its not affected by capital or income from savings.

Im trying to find out how putting my house on airbnb ( I would be renting a room in my friends house as a place for me to live) would affect my ESA.

Initially I had assumed airbnb was self employment, but I read it is not and that its classed as rental income. Im reading that the Furnished Holiday Let scheme is coming to an end in April, so that is unlikely to apply to me as a lot needs doing to the house before I let it.

Im just very confused as I keep being told contradictory things. CAB told me I would be seen as self employed by ESA, and it would be classed as permitted work so my ESA would stop if I received over £183.50 a week. But elsewhere on forums such as Scope and moneysaving expert I reading that income from rental property does not count as self employment and so will not affect ESA.

Ive been reading the decision maker guides and there does seem to be more merit to the forum advice but nowhere is ESA and airbnb an example case in any of these guides. So I still feel as if I have a lot of info pointing in a direction but no conclusion that feels solid.

Is anyone already doing this and knows for certain how its viewed by DWP?
 

2 Replies 2
Willene1
Level 9
Kaleden, Canada

@Helen3505

it is definitely rental income you must report so it may affect your employment income benefit.  It would depend on your tax laws. I don’t know what country you are in but I would give a quick call to your federal government office just to ask before you jump in vs asking here.  Good luck. 

Im in the UK; it can be quite hard to get advice on hypothetical questions from DWP.

Im very interested in the actual experiences people may have had with this issue.