Guidance

If you own or rent your home: Homes for Ukraine

What you need to know about capital gains tax, insurance and mortgages, or if you are a leaseholder.

Leaseholders

If you are a leaseholder, you will need to check the terms of your lease to see if you are permitted to have lodgers or subtenants.

If you don’t know what permissions your lease requires you to secure, you can get free advice from the Leasehold Advisory Service (LEASE). You can also make a telephone appointment with one of LEASE’s advisers by calling 020 7832 2500, or make an appointment online.

We are asking freeholders and residents of the same building not to withhold consent unreasonably.

Tenants

If you rent your property, your tenancy agreement might include a term that says you need permission from your landlord before you host a guest.

Any terms in your tenancy agreement that do not allow you to take in lodgers or subtenants will also apply to these sponsorship arrangements. If you do need permission, it’s best to get this in writing.

If you don’t know what your tenancy agreement requires to host someone from Ukraine, you can get free advice from Citizens Advice or Shelter.

You can contact Citizens Advice through the national phone service on:

  • Adviceline (England): 0800 144 8848
  • Adviceline (Wales): 0800 702 2020

For Shelter, look at the find out where to get the right advice page.

Self-contained accommodation

If you can offer your guest self-contained accommodation, you should agree with your guest who will pay the council tax.

Capital gains tax and private residence relief

If you host a person from Ukraine in a property you own, it is likely they will be occupying under a bare licence (where someone has been given simple permission to live in a property), instead of a formalised tenancy or commercial licence.

Because of this, no part of your property will stop being your residence as a result of that occupation, so there is no impact on Private Residence Relief or Capital Gains Tax.

You can read more information on letting and Private Residence Relief.

Mortgage and household insurance

In some cases, you’ll need to check with your landlord, freeholder or mortgage provider, and insurance company, to find out if they’ve got any policies which you need to consider.

It’s important you think through any possible implications for your tenancy, mortgage, lease and insurance before your guest arrives in the UK.

Insurers have agreed that for homeowners accommodating people coming from Ukraine in their home, there is no need to contact your insurer on the basis that they are accommodated as non-paying guests.

For more details, look at the Association of British Insurers’ statement.

In other situations, including where the sponsor is a landlord or a tenant, you will need to contact your insurer.

Lenders have committed to enable as many borrowers as possible to participate in the scheme. If you have a mortgage on the property you will need to refer to the lender’s website for more instructions.

If you are considering applying to be a sponsor look at your mortgage lender’s and insurer’s websites for more information or contact them directly.

Published 16 January 2023