Rent Out Your Driveway in the UK: Prices, Tax and Permission

Ready to list your space? Follow our step by step guide to listing a parking space on Parksy. It takes about 5 minutes and it is free.

You can rent out a driveway, garage or allocated parking bay in the UK as long as nothing in your deeds, lease or tenancy stops you. Most homeowners need no one's permission. Leaseholders and tenants usually do. This guide covers what a UK space earns, who you need to ask, how HMRC treats the income, and how to post a listing and agree terms with a renter.

What a UK Driveway or Garage Rents For

Prices follow local rents and demand. Parksy's free car space value calculator works from the ONS private rent figures for each local authority and compares them with similar Parksy listings nearby. These were its suggestions in September 2026 for a covered space with a key, fob or remote:

An open driveway with no gate or key comes out about 20 percent lower. In Canary Wharf the same space with open access was £155 a month rather than £195.

Listings already on Parksy give a second check. Across 1,665 priced London listings the median was £150 a month. In Manchester the median of 107 listings was £120, in Edinburgh £120 across 47 listings, and in Leeds £95 across 58. Wembley stands out: 42 priced listings near the stadium had a median of £200, well above the calculator's figure, because event demand pushes prices up.

For short stays the calculator converts the monthly figure. A £195 space in E14 works out at about £55 a week or £15 a day. On match or concert days near a stadium, owners often charge more than their normal daily rate, so check the fixture list and set a separate event price.

A driveway next to a garage can be rented as one space or as two, if each has its own access. Photo: Pexels

Check You Are Allowed to Rent It Out

You Own the Freehold of a House

You can usually rent your own driveway or garage without asking anyone. It is still worth reading your title deeds. Some newer estates have restrictive covenants that limit business use or commercial parking, and a quick check now avoids a dispute with neighbours or the developer later.

You Own a Leasehold Flat

Your parking bay or garage is covered by your lease. GOV.UK explains that your lease sets out the conditions you have agreed to, and many leases restrict letting parking to anyone who does not live in the building. Read the parking and subletting clauses, then ask the freeholder or managing agent for written consent before you post a listing. The Leasehold Advisory Service gives free guidance if the wording is unclear.

You Rent Your Home

Most tenancy agreements ban subletting any part of the property, and that normally includes the driveway or allocated bay. Ask your landlord and get the answer in writing. Our guide on whether you can sublease your parking spot covers this in more detail.

Tell Your Insurer

Let your home insurer know you plan to rent out the space, and ask whether your public liability cover still applies with a stranger's car on your property. Parksy is not a party to private rentals, so your own policy is the one that matters. If you rent a garage for storage, say so too, because contents cover rarely extends to someone else's belongings.

Several Spaces or a Garage Block

Renting a single space at your home is the common case. If you plan to rent several spaces or a separate block of garages as a business, ask your council or the Valuation Office Agency whether business rates apply before you start.

Tax on Driveway Income: The £1,000 Property Allowance

Parking rent counts as income from property. HMRC's tax-free allowances on property and trading income give individuals up to £1,000 a year of property income tax-free. The key points:

• £1,000 or less in a tax year (gross): you do not need to tell HMRC, unless you cannot use the allowance.
• More than £1,000: you can deduct the £1,000 allowance or your actual expenses, but not both. You must register for Self Assessment by 5 October after the end of that tax year.
• It is one allowance: it covers all your property income, so if you already rent out a room or a flat, the driveway income is added to that.

A space rented at £120 a month earns £1,440 a year, which is above the allowance. Keep a simple record of every payment and any costs, such as a key safe or a new light, so your return is easy.

Get the Space Ready

• Measure it. Note length, width and any height limit. Many older garages are too narrow for a large SUV, so say what fits.
• Clear it. Move bins, bikes and anything a driver could clip. Check the lighting on the way in.
• Decide how the renter gets in. An open drive needs nothing. A gate needs a spare remote or a code you can change. A lockable key safe works for garages.
• Take one good photo in daylight. Show the entrance and the space. Parksy accepts PNG, JPG or WebP up to 2 MB.

Post a Free Listing on Parksy

Posting on Parksy is free, there is no commission and you keep what your renter pays. The 6-step posting guide walks through the form: the address, the space type and the vehicles it fits, features such as Covered, Gated, CCTV or Electric Charging, your price, one photo, a title and description, and your contact options. Parksy has more than 21,000 published parking listings in the UK, around 3,500 of them in London, so a clear title with your nearest station or landmark helps drivers pick yours.

Our guide on how to attract renters to your parking space covers photos, descriptions and replies in more depth.

Say how many spaces you have and whether they can be rented separately. Photo: Pexels

Agree the Terms in Writing

Parksy does not take payments for private rentals. You agree the price and payment method directly with the renter, and a bank transfer gives you both a record. Many owners ask for the first month in advance.

After you post, your free Parking Provider Kit gives you a rental agreement filled in with your space details, a printable tear-off poster that shows only your own contact details, and clear steps if something goes wrong. Put the price, payment date, notice period, access hours and the renter's vehicle registration in the agreement.

Show the space in person or by video before any money changes hands. Be wary of anyone who offers more than you asked, wants to pay by gift card or pushes you onto another app straight away. The Parksy Safety Guide covers the rest, and our beginner's guide to renting out a parking space has more on pricing and handovers. If you have a garage rather than a driveway, see 5 ways to earn income from an empty garage.