Relocation Expenses Reimbursement Scheme

The elements of the available financial package are:

• Relocation allowance: Employees can receive up to 10% of gross salary to help cover moving expenses.
• Removal costs: The University offers £2,000 for individuals relocating within the UK and £3,500 for individuals relocating from overseas. This covers travel and moving personal belongings.
• Tax and NI: Any amount over £8,000 is taxable and subject to National Insurance (NI).
• Additional for International Staff: Travel costs reimbursement for those relocating from overseas falls outside of the £8,000 tax and NI threshold and allowance claims will therefore be tax exempt.

Any additional amount or special agreement outside of this financial package is at the discretion of the Provost and Deputy Vice-Chancellor.

In order to be eligible, the following conditions apply:

• The employee is moving from outside a 30-mile radius to take up a new appointment. This will be reduced to 20 miles for Loughborough University London appointments.
• The employee is taking up a first (including probationary) appointment of at least two years duration. An individual will be eligible if their initial appointment was for less than two years duration and the appointment has subsequently been extended.
• Relocation must take place within 2 years from the date of the appointment,
• If an existing employee's substantive roles is moving from one campus to another, and relocation is required, they will be eligible under this policy. 
• Appointments that are split across both Loughborough University and Loughborough University London are eligible.
• The employee must have commenced their role at the University prior to any claim under this scheme being considered.

The following is a list of what may be claimed for. If you are unsure if your expenses will be covered please contact your HR team to seek confirmation before incurring the cost. 

Relocation

• Legal expenses and service connected with buying and selling (or giving up/acquiring a tenancy of) a new residence including, searches, property enquiries and land registry fees
• Mortgage redemption and/or arrangement fees
• Estate agents' fees or direct advertising costs if not using the services of an estate agent for selling property
• Surveyors' fees
• Stamp Duty
• Fees for setting up initial rental agreement (excluding deposits)
• Ongoing rental commitment on the original residence, once it is left empty, for a period not exceeding 2 months. if it is not possible to break an existing lease agreement. 
• Dependent's visa costs, however, these are taxable

Costs of transferring belongings

• Removal of household effects from the current residence, including insurance in transit
• Packing and unpacking
• If an employee chooses not to use a removal firm but to undertake their own move, the cost of hire of a vehicle and associate fuel and insurance costs may be claimed
• Moving domestic pets (excluding quarantine costs)
• Temporary storage, including insurance, of furniture if not moving directly from the old residence to the new for a period of up to 2 months (but temporary storage is not an eligible cost if the employee has no intention of moving belongings to the new residence)

Costs of domestic goods for new residence

• Purchase of essential and reasonable domestic goods to replace items used at the old residence that are not suitable for use in the new residence. These are larger items such as carpets and curtains that are the wrong size for the new home, or an electric cooker bought to replace a gas cooker where there is no gas supply in the new home. The expectation is for the employee to seek best value, as justification of expensive purchases may be required.

Costs of travelling and subsistence (food, drink and temporary living accommodation)

• Travel and subsistence costs, including up to two return visits for the employee and their family to look for accommodation, schools etc.
• Up to 2 months of rented or temporary accommodation while actively seeking to purchase a residence (or obtain longer-term rental accommodation) in the Loughborough or Loughborough London campus area. Evidence of the individual seeking to purchase or rent a property may be requested.

This is not an exhaustive list.

Expenses that are explicitly excluded from the University's Relocation Expenses Scheme include:

Relocation

• Additional costs of living in a more expensive area
• Council Tax charges
• Disconnecting gas, water etc.
• Daily travel cost to the University
• Redirection of mail
• House cleaning on moving residence
• Gardening services
• Financial advice
• Security deposits relating to rented accommodation and other refundable deposits

Cost of transferring belongings

• Costs relating to the quarantine of domestic pets
• Packing materials
• Transportation of books
• Removal of effects from anywhere other than the current residence
• Removal of office and temporary equipment from the premises of the employee's previous employer (the employing department may by prior agreement be able to fund all or part of these costs by direct payment to the previous employer or to a removal firm).

Costs of domestic goods for new residence

• Smaller domestic goods e.g. kettles, air fryers, vacuum cleaners
• Lamps
• Patio furniture
• House or garden plants

This is not an exhaustive list.

• All claims need to be made, using the Form provided, within two years of the appointment commencing and will be subject to the HR department approvals process.
• Employees are expected to meet costs in the first instance and provide a paid invoice, a completion statement or receipts for all costs with the exception of mileage. 
• Reimbursement will only be made upon provision of relevant receipted invoices and in line with the University's financial procedures. 
• The percentage amount will be based on the starting salary, not the salary at the time of the claim. 
• Claims should be received by HR Services by the 5th day of the month, for payment at the end of that month, subject to the approval process.
• No claims will be considered until after the start date of employment. 
• In the event of multiple appointments in the same household, the University will only pay for items once. 
• Any deviation from the claims process will be at the discretion of the Director of Human Resources.

If an employee leaves within two years of appointment, they will have to repay the actual expenses claimed under this scheme net of tax. The amount that is paid will be reduced by 1/24 for each full month worked.

Only expenses incurred in the tax year that the member of staff joins the University and the one following will be considered. The UK tax year is 6 April to 5 April. 

Claims for reimbursement of expenses will only be considered for exemption from income tax and NI deductions if they are submitted before the end of the tax year following the tax year in which the appointment commenced. 

Examples:

Start date of new job: 1 March 2025, submit expenses claim before 5 April 2026.

Start date of new job: 1 September 2025, submit expenses claim before 5 April 2027.

Under HMRC rules, if an employee lives in their new home during the week but returns to their old home and family at weekends, their old home is likely to remain their main residence, and all amounts paid may be subject to Tax and NI.