Not in full. Since 2020-21, individual landlords cannot deduct mortgage interest directly from rental income. Instead, you receive a tax reduction equal to 20% of your finance costs. For a basic rate taxpayer, the effect is broadly the same as a full deduction. For higher rate (40%) and additional rate (45%) taxpayers, the relief is worth significantly less. The Furnished Holiday Lettings regime, which previously allowed unrestricted mortgage interest deductions for qualifying holiday lets, was abolished from 6 April 2025. If you operate through a limited company, mortgage interest is still deducted in full against profits before corporation tax.