Quick Answer
Two Ways to ClaimIf you work from home as a self-employed person in the UK, you can deduct a proportion of your household costs from your taxable income.Method 1: Simplified ExpensesClaim a flat rate based on hours worked from home per month:25-50 hours: £10/month51-100 hou...
Key Information
- Last Updated:
- 21 Apr 2026
- Category:
- Tax Guides
- Reading Time:
- 1 min read
Two Ways to Claim
If you work from home as a self-employed person in the UK, you can deduct a proportion of your household costs from your taxable income.
Method 1: Simplified Expenses
Claim a flat rate based on hours worked from home per month:
- 25-50 hours: £10/month
- 51-100 hours: £18/month
- 101+ hours: £26/month
Method 2: Actual Costs
Calculate the actual proportion of your home used for business. For example, if you use one room out of five exclusively for work, you could claim 20% of your mortgage interest, council tax, electricity, gas, water, and broadband.
Which Method Is Better?
For most freelancers, the actual costs method results in a larger claim — but it requires more record-keeping. The simplified method is easier but less generous.
Leave a Comment
Share your experience or ask a question about this article.
Just started working from home myself. Is it too good to be true that I can claim £26/month if I work 100+ hours?
I've found Method 2 more beneficial with clients who work from home full-time. To be precise, claiming 10% of heating costs based on square footage used has made a significant difference.
Just started working from home too! I've been wondering which method to choose - anyone used both?
I'm based in Bristol and didn't realise I could claim for working from home. Thanks for this guide!
As a freelancer in Manchester, I've been using Method 1 for years. It's so simple, even on busy days!