UK abolishes homeworking tax relief from April 6 – 300,000 workers affected

HMRC will remove the flat-rate GBP 6/week tax relief for unreimbursed homeworking expenses from April 6, 2026. Approximately 300,000 employees who currently self-claim this relief will lose GBP 62-124 per year.

Employers can still reimburse homeworking costs tax-free, so remote workers should check whether their employer offers this. The change comes at a contradictory time – the same government is consulting on making flexible working the legal default while simultaneously removing a tax incentive for working from home.