The number of people taking in a lodger has almost doubled to a million, according to new research from LV. And thanks to the Government’s Rent a Room scheme, you can earn up to £4,250 in rental income without paying a single penny in tax. If you rent out a room jointly – perhaps as a couple – you can each earn up to £2,125 tax-free.

Better still, you won’t have to declare this income if you don’t normally complete a tax return, and there's no need to apply for the scheme either. The exemption is automatic – what could be easier? That means you could earn over £350 a month from your spare room totally tax-free!

Good websites to check out for lodgers include the free classifieds site Loot, Easyroommate, Gumtree, and MondaytoFriday (this is a great website if you don't want your lodger around at weekends). You could also place notices in local shops, hospitals, large employers and universities/colleges (if you're looking for staff or foreign language students).