Replacement of Domestic Items Relief — What Landlords Can Claim in 2026

What Is Replacement of Domestic Items Relief?

Replacement of Domestic Items Relief (sometimes still informally called "wear and tear relief", though that older scheme was abolished in April 2016) allows landlords to claim a tax deduction when they replace furniture, furnishings, household appliances, and kitchenware in residential let properties.

The key word is **replace**. You cannot claim when you first furnish a property. Relief only arises on the cost of a subsequent replacement item.

What Items Qualify?

HMRC's guidance confirms that the following domestic items qualify for the relief when replaced:

• Moveable furniture (sofas, beds, wardrobes, dining tables and chairs)
• Furnishings (curtains, blinds, carpets, rugs)
• Household appliances (washing machines, dishwashers, fridges, freezers, ovens)
• Kitchenware (crockery, cutlery, pots and pans)
• Televisions
• Mattresses

The property can be furnished or unfurnished — the relief applies to any residential rental property, not only furnished lettings.

What Does Not Qualify?

• **Fixtures** — items that are integral to the building itself (fitted kitchens, bathrooms, boilers, central heating systems). These are treated as repairs or capital improvements and dealt with accordingly.
• **The initial purchase of items** when you first let the property.
• Items used partly outside the rental property.

How Is the Relief Calculated?

The relief is limited to the cost of a **like-for-like replacement**. If you replace an old washing machine with a comparable model, you deduct the full cost. However, if you upgrade to a significantly better model, HMRC expects you to deduct only the cost of the equivalent replacement — not the premium you paid for the upgrade.

**Example:** Your tenant damages the fridge-freezer. A like-for-like equivalent costs £400. You decide to buy a larger, more modern model costing £650. Your allowable deduction is **£400** — the cost of the equivalent item. The additional £250 is not deductible.

You also reduce the claim by any proceeds you receive for the old item if you sell it rather than dispose of it.

Proceeds From Disposal

If you receive any money from selling or disposing of the old item (e.g., selling it for scrap), that amount reduces the relief available:

**Relief = Cost of new item − Proceeds from old item** (subject to the like-for-like cap)

Properties Let at Below-Market Rent

If you let a property to a family member at a reduced rent or otherwise on non-commercial terms, HMRC may restrict or disallow the relief. The property must be let on commercial terms for the relief to apply in full.

Record-Keeping

Keep receipts for both the purchase of the new item and, where applicable, any disposal of the old one. Note the date of replacement, the item replaced, and the original item's condition if challenged. HMRC expects records to be retained for at least six years.

Why This Matters

For landlords with furnished properties, domestic items relief can meaningfully reduce the annual tax bill. Over a portfolio of several properties, the cumulative deductions can be significant. Use our [rental income tax calculator](/rental-income-tax-calculator) to see how domestic items relief affects your net taxable profit.