There is no legal requirement to hold a business bank account for a holiday let. Many owners manage income and expenses through a personal account without any issues.

That said, a dedicated account makes it considerably easier to track rental income, record allowable expenses, and prepare your self-assessment tax return accurately. It can also simplify things if HMRC ever requests evidence of your income and costs.

Some mortgage lenders or accountants may recommend a separate account for clarity, particularly if you own multiple properties. It is worth discussing with your accountant what arrangement suits your situation best.