Premises rent dispute

Q: We are three part-time PMS partners. Two of us, including me, own the premises. The third partner pays us rent. We have no written lease agreement. The other owner and I charge the whole partnership for use of the premises. The PCT pays a notional rent but it is much lower than the amount needed to cover the cost of our mortgage and to maintain the external part of the premises (landlords' responsibility). We would like to increase the rent to cover the mortgage cost and maintenance, regardless of the amount of notional rent. I wonder if the law allows this? We do not want to make a profit but we do not want to be left out of pocket either. I also wonder if we could set the rent based on our own preferences. What other options do we have?

by John Hearle

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