Letting then renting our house

[lulu_bucket]

If I let my house out ( I dont have a mortgage) and then I rent another one with my partner - what expenses can I offset ? He will be letting his too so we would be renting a larger one together but the income we get for our two would be used for the rental cost of the new one.
ALSO what sort of tax does one have to pay for doing this?
Thanks

[sandmaster]

I'm not a tax expert but I believe that if you are both employed and paying PAYE you will need to declare the rental income for tax purposes. You may be able to offset some maintenance costs relating directly to the properties. You will receive no allowance for the rent you have to pay for the property you are renting to live in.