Reimbursement of Relocation Expenses

Purpose of Scheme

To provide financial assistance (up to £8,000) with relocation costs for moves within the UK and from overseas.

Eligibility

The scheme is open to all newly appointed centrally funded staff (including all grades of assistant staff on central funds and centrally funded unestablished staff) appointed from 1 September 2003 on appointments for two years or more.

To check your eligibility for this scheme, please complete this short questionnaire. If you are eligible for the scheme, you will be given a reference number that you will need to include with your expenses claim. 

Reimbursement is available for moves within the UK provided your previous residence is not within reasonable daily travelling distance and as a consequence of the move you are changing your main residence rather than acquiring a second home. (Where applicable, please note residency regulations for University officers.)

The scheme does not include staff transferring to a new post within the University nor does it include those who have been promoted (for example, from assistant staff to officer).

Travelling and removal costs would normally include your cohabiting partner and unmarried dependent children under the age of sixteen or in full-time education or other approved full-time training at the time of appointment.

You must claim reimbursement within HM Revenue and Customs time limits, see UK Taxation Implications paragraph.

Allowable Expenses

Financial assistance with relocation costs up to £8,000 in any one case is available.

Reimbursement of relocation costs to include:

• Solicitors' fees in respect of sale and purchase
• Search, survey and property enquiry fees
• Mortgage arrangement/redemption fees
• Estate agents' buying/selling fees or advertising costs
• Removal costs 
• Travel costs to port of entry for moves into the UK (at economy class rates or equivalent)
• Storage costs to a maximum period of 26 weeks
• Stamp duty
• Valuation fees
• Conveyancing
• Land registry fees
• Registration fees
• Excess baggage allowance

The following expenses would be excluded from the scheme:

• Travel costs from UK port of entry to new Cambridge residence or travel costs from previous UK residence to new Cambridge residence
• Work-related items (e.g. office or laboratory moves). Such costs should be discussed with your Institution, who may or may not be able to assist
• Removal of motor vehicle, livestock or pets
• The costs of disconnection/reconnection of electrical or other household appliances or any household cleaning
• The costs incurred in the obtaining of visas/passports

Repayment Conditions

The University would seek reimbursement in the event of an individual leaving employment earlier than expected, that is:

Removal and Travel Costs (UK and Overseas)

Moves within the UK

If the cost of the removal of your household goods exceeds £5,000, you should obtain estimates from three removal firms and submit these with your claim. You are responsible for expenses incurred when travelling to your new Cambridge residence.

If you are relocating from Northern Ireland, you may claim reimbursement for a sea journey at tourist, car ferry or equivalent rate. You would then be responsible for travelling costs from port of entry to Cambridge residence.

Moves from outside the UK

The University has an arrangement with a number of international removers and shippers, to undertake the removal of household effects to Cambridge from overseas. Contact the HR Resourcing Team for details of these preferred suppliers at relocation@admin.cam.ac.uk.

If the cost of the removal exceeds £5,000, you should obtain estimates from three different removal firms and submit these with your claim. In this instance, please contact relocation@admin.cam.ac.uk, who can provide the list of remove companies.

Once you have chosen the removal firm, you should accept the quotation and the terms and conditions. Authorisation is not require for your choice of remover, but you will be asked to submit the three quotations with your expenses claim, and if necessary, explain your choice of removal firm.

You should pay the chosen removal firm direct for the packing, shipment and delivery of household effects to an address in Cambridge, or to store in the United Kingdom, including the associated insurance. You should then submit a detailed invoice with your claim. You will be reimbursed for the allowable expenses and up to the maximum limit of £8,000. If this arrangement would be problematic, please contact the HR Resourcing Team at relocation@admin.cam.ac.uk. 

You may seek reimbursement of one journey to the UK for you and dependent family (see Eligibility paragraph) to the port of entry only as outlined below:

You will be responsible for travelling expenses incurred from UK port of entry to new Cambridge residence.

UK Taxation Implications

From 6 April 1993, HM Revenue and Customs agreed to include as statutory tax-free concessions certain relocation expenses for persons subject to a financial limit of £8,000. See Notice IR134 or Relocation under the HMRC's Expenses and Benefits A–Z for further information.

To qualify for exemption, expenses and benefits must be eligible and must satisfy specified conditions. The qualifying expenses and benefits are listed under Allowable Expenses. In accordance with HM Revenue and Customs rules, all expenses need to be evidenced by receipts or other documentation. Full details are set out in Schedule 11A of the Taxes Act 1988.

The conditions state that the employee must change their sole or main residence for reasons of starting the new employment provided their previous residence is not within reasonable daily travelling distance and their new residence is within a reasonable travelling distance. Note this does not require an employee to sell a former home, merely to change main residence

The expenses must be paid for by the employee before the end of the year of assessment following the one in which the employee starts the new appointment. It does not matter when the employee moves home. For example, if an employee was appointed during the tax year 2022/23 the expenses must be provided by end of tax year 2023/24. Failure to do so may result in loss of HM Revenue and Customs concessions.

For further information regarding UK tax implications, please visit the University's Financial Procedures webpages.

Claim Procedure

Reimbursement claims should be made using Form PD36, with receipted invoices and documents attached, and submitted to the Head of Institution or comparable authority. You are advised to retain copies for future reference.

The Head of Institution or comparable authority will then forward the claim to the HR Division, at relocation@admin.cam.ac.uk.

The University will not pay contractors direct or pay in advance, unless the Director of Finance has approved a case for hardship.

You will receive reimbursement against the allowable expenses and up to the maximum limit of expenditure through the payroll.

Associated Costs

Where an individual comes to the UK for employment, their travelling costs and those of the spouse and family may be eligible for relief under Section 195 ICTA 1988.

These costs fall outside of the scope of the Reimbursement of Relocation Expenses scheme outlined above. Reimbursement may be funded locally by the relevant Institution, subject to local approval.