Kim lives in a house provided by her employer. The house cost her employer £246,500 in 2018 and a further £28,500 was spent on improvements in 2019. The house has a gross rateable value of £3,700 and it has been agreed with HMRC that there is 12% business use. Kim pays rent of £400 per month to her employer for her private use of the house.

Compute the taxable benefit in 2020-21 (the official rate of interest is 2.25% p.a.).