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IncomeFix

Deliveroo Tax Guide 2026/27

By Omair SaoLast reviewed — rates for the 2026/27 tax year. See how we check our figures.

Average earnings:£10–15/hour before expenses

Deliveroo is one of the UK's largest food delivery platforms, operating in over 100 towns and cities. Riders are classed as self-employed and can choose their own hours, delivering food from local restaurants and grocery stores to customers' doors.

Making Tax Digital applies (income over £50k)Platform reports earnings to HMRCMileage deductions apply

How Much Tax Will You Pay on Deliveroo Income?

If you earn through Deliveroo as a self-employed rider or courier, you pay Income Tax and Class 4 National Insurance on your profits — not your gross earnings. The £1,000 trading allowance means the first £1,000 of income is tax-free. Above that, you deduct either the allowance or your actual expenses, whichever is higher, to arrive at your taxable profit. Use our side hustle tax calculator to get an instant estimate for 2026/27.

Basic rate taxpayer

20% + 6%

Income Tax + Class 4 NI on profit between £12,570 and £50,270

Higher rate taxpayer

40% + 2%

Income Tax + Class 4 NI on profit between £50,270 and £125,140

Trading allowance

£1,000

Tax-free — no Self Assessment below this

A Typical Year on Deliveroo: Worked Example

Assumes about 12 hours a week on an e-bike, with charging, servicing, phone data and kit as the main costs. The figures below assume you also have a £28,000 PAYE job, so your Personal Allowance is already used and every pound of profit is taxed. They are produced with the same 2026/27 tax functions as our side hustle tax calculator.

Gross income from Deliveroo£7,800.00
Actual expenses (higher than the £1,000 trading allowance)Actual costs in the year: £2,100.00−£2,100.00
Taxable profit£5,700.00
Income tax on the profitCharged on top of the £28,000 salary£1,140.00
Class 4 National InsuranceProfit is below the £12,570 lower profits limit£0.00
Cash kept after real costs and tax£4,560.00
Effective hourly rate£7.31 an hourat 12 hours a week

If Deliveroo were your only income, the £12,570 Personal Allowance would cover the whole profit and no income tax would be due at this level.

What Deliveroo Reports to HMRC

Deliveroo is a UK platform operator and riding is a personal service, so the goods-only exclusion (fewer than 30 sales and under about €2,000, roughly £1,700) never applies: any rider paid in a calendar year is on the report Deliveroo files with HMRC by 31 January, and you must be sent a copy. It collects your name, address, date of birth, National Insurance number and bank details in the Rider app for that purpose. Deliveroo's own guidance says every payment into your rider account is reported against you, even for orders a substitute completed. The report runs January to December, so you will split it across two tax years.

Getting Started: Staying Compliant from Day One

  1. 1

    Register for Self Assessment once rider fees pass the £1,000 trading allowance, and no later than 5 October after the end of the tax year you started in.

  2. 2

    Choose on day one between simplified mileage (55p a mile for the first 10,000 business miles, then 25p) for a car or scooter and actual costs for a bicycle or e-bike; you cannot switch while you keep that vehicle.

  3. 3

    Start a trip log from your first shift with the date, start and end readings and the zone you worked.

  4. 4

    Save the fee invoices Deliveroo generates for each pay period from the earnings section of the Rider app, rather than relying on bank credits.

Common Mistakes Deliveroo Riders and Couriers Make

  • Assuming the trading allowance is per app: it is £1,000 across all your self-employed income, so Deliveroo, Uber Eats and Just Eat share one allowance.
  • Claiming 55p a mile for a bicycle: the flat rates only cover cars, vans and motorcycles, so pedal and e-bike riders must claim actual costs.
  • Treating the calendar-year total on the Deliveroo report as the figure for a tax year that runs from 6 April to 5 April.

Allowable Expense Deductions for Deliveroo

These expenses reduce your taxable profit. Keep receipts for all claims.

ExpenseDetails
Vehicle costsBicycle maintenance, electric bike charging, or scooter/car fuel and insurance. You can claim simplified mileage for motorised vehicles or actual costs.
Phone and dataYou need a smartphone with a data plan to use the Deliveroo rider app. You can claim a proportion of your phone bill as a business expense.
Delivery equipmentThermal bags, phone mounts, waterproof clothing, and hi-vis gear. Deliveroo provides a branded jacket but most riders buy additional kit.
InsuranceIf you deliver by car or scooter, you need hire and reward insurance, which is more expensive than standard cover.

Earning and Tax Tips for Deliveroo Riders and Couriers

  • Peak hours (Friday and Saturday evenings, 6–9pm) consistently offer the highest earnings and boost incentives.
  • Position yourself near restaurant clusters in busy areas rather than waiting at home for orders to come in.
  • Track every mile you ride or drive — mileage is often your biggest deductible expense and can significantly reduce your tax bill.
  • Keep all receipts for equipment, repairs, and phone bills in a folder or app like FreeAgent or QuickBooks.

Frequently Asked Questions

Am I employed or self-employed with Deliveroo?

Deliveroo riders are classified as self-employed independent contractors in the UK. This means you are responsible for paying your own income tax and National Insurance via Self Assessment. Deliveroo does not deduct tax from your pay.

Do I need to register as self-employed?

Yes. You must register with HMRC as self-employed by 5 October following the end of the tax year in which you started. You can register online at gov.uk. If your total self-employment income is under £1,000, it is covered by the trading allowance and you do not need to register.

How much tax will I pay on Deliveroo earnings?

You pay income tax on your profits (earnings minus allowable expenses) above the personal allowance (£12,570). If your profits exceed £12,570, you will also pay Class 4 National Insurance at 6% on profits between £12,570 and £50,270 (2% above that). Compulsory Class 2 NI was abolished in April 2024. Use our side hustle tax calculator to get a personalised estimate.

Official Sources

The rules on this page come from the following official pages and were checked on 25 September 2026. Read how we check our figures.

Calculate your Deliveroo tax bill for 2026/27

Enter your Deliveroo earnings, employment income, and expenses to see your exact Income Tax, Class 4 NI, and net take-home pay.

Open Side Hustle Tax Calculator →

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