Registering an office or home

Overview

Once you have registered your property, you can also claim costs for your office or home.

Find the resources and support you need to register your office or home in IPSA Online, find information about sharing accommodation and homeworking, and learn about office budgets and the costs you can claim.

Scheme rules

The office costs budget is provided to meet the costs of renting, equipping and running MPs’ constituency offices, surgeries, and other activities which support their parliamentary functions, where these costs are not covered by other budgets. [6.1]

All MPs are eligible to claim for office costs, whether or not they rent office premises. [6.2]

Rent cannot be claimed for a home office (and note that such an address will be treated as the MP’s home rather than an office, for travel claims). [6.8]

IPSA will pay for rent on an office only after it has been registered and accompanied by the required documentation including the MP's rental agreement. [6.13]

Claims for the following costs will only be allowed if the constituency or home office has been registered with IPSA, and comply with the requirements set out in Office costs you can claim:

  • energy and water bills

  • business rates (not for home offices)

  • contents insurance

  • buildings insurance (not for home offices)

  • rental and usage costs for telephone and internet access [6.14]

For more information, visit Completing a Property Registration Form.

MPs are entitled to exercise reasonable discretion over claims for items that meet the purposes of the office costs budget, provided that the claims adhere to the fundamental principles and general conditions of the Scheme. [6.4]

They must also observe the conditions set out in Office costs you can claim.

A start-up supplement will be added to the office costs budget of newly elected MPs. It is designed to help new MPs meet the costs of setting up their constituency offices. [6.11]

The start-up supplement is available to new MPs for the duration of the financial year in which they were elected.

If a new MP is elected in the three months before the end of the relevant financial year, IPSA may exercise discretion in rolling forward all or part of the start-up supplement into the office costs budget for the following financial year. [6.12]

MPs can claim for the costs of more than one office provided that they stay within budget.

If you can demonstrate exceptional circumstances, you may be eligible for contingency funding to allow for the operation of more than one office. [6.3]

MPs may claim for the costs of a home office – if that is where they routinely work from.

IPSA will only pay claims for costs that are additional to those which are part of the normal cost of living in the home.

Staff members who are home-based may claim homeworking costs that are additional to normal costs of living in the home, or receive the homeworking allowance (under [7.17]), but cannot do both in the same period. [6.6]

To be funded by IPSA, a constituency office must be located in the constituency – unless it is a home office.

A home office can be claimed for even if it is more than 20 miles from the constituency boundary. [6.7]

Rent cannot be claimed for a home office. The location will also be treated as the MP’s home rather than an office for the consideration of any travel claims. [6.8]

This is covered by Requesting additional budget.

For more information on using IPSA Online, visit Applying for contingency funding.

Removal costs for moving to new office premises may be claimed from the contingency budget. No pre-approval is required.

Other costs associated with moving, including any legal costs, must be claimed from the office costs budget. [6.9]

MPs may claim under office costs for "routine security measures", i.e. not those which are now funded by the House of Commons as recommended or further security measures. [6.10]

For more information, visit Security measures & assistance.

When submitting claims for telephone calls, MPs should only claim for that proportion of the costs which has been incurred for parliamentary purposes. [6.29]

MPs may claim for pooled staffing services from either the office costs or staffing budget. [6.30]

Visit Staffing costs and Staffing costs you can claim for more information.

IPSA will not pay claims for any of the following:

  • alcoholic drinks

  • stationery provided by the House of Commons

  • newsletters

  • funding of any material, other than websites, that contains a party-political logo or emblem, or

  • personal accountancy or tax advice [6.5]

If two or more MPs share rental accommodation, they must notify IPSA when they register the property.

The rental agreement must include the name of each MP sharing the accommodation. [4.22]

Each MP will be entitled to the full accommodation costs budget – and all costs claimed should be shared equally between those MPs. [4.23]

An allowance ("the homeworking allowance") is payable to MPs’ staff members who are home-based, to cover homeworking costs such as telephone, internet, electricity and gas usage.

These amounts will be paid directly to relevant staff members through the payroll, with the costs allocated to the staffing budget. [7.17]

The homeworking allowance amount will be the prevailing amount as set out in HMRC guidance as the maximum that can be paid to employees without evidence of the actual costs incurred.

Payment of this amount will be pro-rated for staff members who start or end their employment during a month. [7.18]

In respect of a staff member in receipt of the homeworking allowance, IPSA will not accept claims (or will seek repayment of claims already paid) (under paragraph 6.6 and paragraph 6.14 for costs which are incurred as a result of homeworking and are additional to those which are part of the normal cost of living in the home, including:

  • energy and water bills

  • contents insurance, or

  • rental and usage costs for telephone and internet access [7.19]

If individual staff members are not working from home, or do not wish to be in receipt of the homeworking allowance, the employing MP must notify IPSA by the normal monthly deadline for payroll changes.

This also applies where staff members who were previously in receipt of the homeworking allowance have returned to their normal place of work (the constituency or Westminster office). [7.20]

The homeworking allowance is only payable to staff members who are on a home-based contract. Allowance costs will be allocated to the staffing budget, rather than the office costs budget, from that date.

For more information visit Homeworking allowance.

Using IPSA Online

The Property Registration Form allows you to register a property with IPSA.

You should use this form to register your constituency office.

  1. Note!

    To complete a Property Registration Form, open IPSA Online.

  2. Step1

    Select the Main menu tab.

  3. Step2

    Select the Forms tab on the left of the screen.

  4. Step3

    Select Property Registration Form.

    You will now be required to complete several fields with information spread over several tabs. Any field marked with a red asterisk is mandatory. You may not need to complete all tabs, these depend on the type of property you are registering.

    Any box marked with an information icon contains important information regarding the registration of your property. Please ensure you read this in each section.

  5. Step4

    The Form ID field will state [NEW] and will be automatically generated when the form is saved.

  6. Step5

    In the Form description field enter a description of what the form is for, following this convention:

    MP Name – First Line of Address – Property Type

  7. Step6

    In the MP or staff name section, in the Type of property field, press the space bar and select the type of property you wish to register.

  8. Step7

    Within the Property details section, in the Type of property field, select the drop-down arrow and select the type of property again.

  9. Step8

    Complete the address details.

  10. Step9

    If registering a Private residence, go straight to the Declaration tab.

    If registering a Home office, go straight to the Home office tab.

    If registering any other property, go to the Tenancy agreement tab.

  11. Step10

    Only complete the Home office tab if you are registering a property as a Home office.

  12. Step11

    In the Date claim to start field, select the Calendar icon and select the relevant date claims for this property will start.

  13. Step12

    To list the costs you wish to claim for, in the next section select the Add button.

  14. Step13

    In the Expense to claim field, enter a description of the expense.

  15. Step14

    In the Percentage to claim field, enter the percentage of the total cost that will be claimed.

  16. Step15

    After entering each expense on separate lines, go straight to the Declaration tab.

  17. Step16

    Only complete the Tenancy agreement tab if you are registering a Constituency office or IPSA funded accommodation.

  18. Step17

    Using the information on your lease or tenancy agreement, complete the fields in the Tenancy agreement section.

  19. Step18

    If this property is replacing a property already registered, select Yes in the Replace current property? field and complete a Property Amendment Form to inform IPSA.

  20. Step19

    In the Shared tenancy section, please select yes or no to tell us if you are sharing the tenancy and select your type of landlord.

  21. Step20

    If you require a deposit loan for the property, select the Deposit Loan tab.

  22. Step21

    Complete the fields of the Deposit Loan with details of the deposit loan you require. The date you enter should be the date you wish the deposit loan to be paid.

  23. Step22

    Select the Payee details tab.

  24. Step23

    When you are in Payee details in the Lease section, complete both fields. If you do not have a signed lease, you should submit the signed lease to us via email after submitting your Property Registration Form. Please include the form number as a reference.

  25. Step24

    If you require IPSA to pay your rent directly, complete all fields in the Direct rental payments section. If you will claim rent via reimbursement claims, go straight to the Landlord details section at the bottom of the page.

  26. Step25

    In the Payee details section, complete all fields to provide the details of who IPSA will be paying.

  27. Step26

    In the Landlord details section, select Add and enter the relevant details.

  28. Step27

    Select the Declaration tab.

  29. Step28

    When in the Declaration tab, in the Additional Information section, enter any further relevant information IPSA should be aware of.

  30. Step29

    Read the Disclaimer.

  31. Step30

    Read the Declaration carefully and make sure you have adhered to it.

  32. Step31

    Select the drop-down arrow below the Declaration and select Yes.

  33. Step32

    Select Save as Draft at the bottom of the screen.

  34. Step33

    To attach a copy of your tenancy agreement and any relevant documents, select the Paperclip icon in the top-right corner of the screen.

  35. Step34

    First select Add a document and then select Property documents from the Document type drop-down.

  36. Step35

    Select Upload and choose the relevant documents from your computer’s documents.

  37. Step36

    Enter a Document title, preferably noting the first line of the address, then select Save and close the document archive.

  38. Step37

    When you are satisfied you have completed the form with all relevant details, Submit at the bottom of the screen.

  39. Step38

    A pop-up will appear informing you the form has successfully been submitted. Note down the IPZZ number for future reference.

The Property Amendment Form allows you to Inform IPSA of any changes to one of your registered properties. Changes may include:

  • amending bank details of a landlord

  • amending rent due dates

  • amending a landlord’s details

  • amending a rent amount

  • cancelling rent payments

  • submitting a lease renewal

  • suspending a rental payment

  • restarting a rental payment

  • leaving an office

  1. Note!

    To complete the Property Amendment Form, open IPSA Online.

  2. Step1

    Select the Forms tab on the left of the screen.

  3. Step2

    Select the Property Amendment Form.

  4. Step3

    The Form ID field will state [NEW] and will be automatically generated when the form is saved.

  5. Step4

    In the Form description field enter a description of what the form is for, following this convention: MP Name – Type of change – Property Type.

  6. Step5

    Select the Registered address field and press the space bar. Select the relevant address you wish to update (ACC is Accommodation and CON is Constituency).

  7. Step6

    Select the Type of change field and press the space bar. Select the type of change you wish to make from the list.

  8. Step7

    In the Change effective from field, select the Calendar icon and select the date the change is effective from.

  9. Step8

    In the Details/description field, type in the changes you wish to make to the registered property. Provide as much detail as possible so IPSA does not have to contact you for further information and hold up the processing of your request.

  10. Step9

    Select Save as Draft at the bottom of the screen.

    This is an important step as the Property documents option doesn’t appear until the form has been saved as draft.

  11. Step10

    To attach a copy of any relevant documents, select the Paperclip icon in the top-right corner of the screen.

  12. Step11

    Select Add a document and select Property documents from the Document type drop-down.

  13. Step12

    Select Upload, then select the relevant documents from your computer’s documents.

  14. Step13

    Enter a Document title, preferably noting the first line of the address, then select Save and close the document archive.

  15. Step14

    When you are satisfied you have completed the form with all relevant details, Submit at the bottom of the screen.

  16. Step15

    A pop-up will appear informing you the form has successfully been submitted. Note down the IPZZ number for future reference.

Guidance

Who is eligible to receive the homeworking allowance?

A homeworking allowance can be paid monthly to any member of staff who is on a home-based contract.

Those who are on hybrid or office-based contracts are not entitled to the payment.

How much is the homeworking allowance?

As of August 2022, the homeworking allowance is £26 per month.

This allowance is set by HMRC and is the maximum that can be paid to staff without evidence of the actual costs incurred.

How can a staff member opt-in to receive the homeworking allowance?

Eligible staff will automatically receive the allowance.

The homeworking allowance payment will be added to the payroll as soon as IPSA is notified that the staff member is eligible. This is when a staff member is employed on – or has moved to – a home-based contract.

All homeworking allowance payments are made through payroll.

Can staff members opt out of the homeworking allowance?

Tax positions can vary across individuals and in some cases, home-based staff may wish to opt-out of receiving the homeworking allowance and apply to HMRC for tax relief. In these cases, you should refer to HMRC guidance.

If a staff member is expecting significantly higher costs than the allowance payment, it is possible to opt-out of the homeworking allowance payment and claim actual costs. This option is more burdensome, is only payable for certain costs, and will need to be evidenced.

The homeworking allowance is the default option because it is the most straightforward way to cover costs.

If a staff member changes their home-based contract to a hybrid or office-based contract, they will no longer receive the homeworking allowance payment.

Can claims be made outside the homeworking allowance payment?

Only one of the options can be claimed for at any one time – either the homeworking allowance payment, reimbursement of actual costs or tax relief directly from HMRC.

Receiving the homeworking allowance does not require any claim or submission of evidence and therefore we think it is the best option for home-based staff.

How much can be claimed in actual costs?

If you opt for reimbursement of actual costs, claims are only considered when it can be demonstrated they are in addition to the normal costs of running the home. For example, to claim the cost of fuel or utilities, the staff member must be able to demonstrate the increase in usage as a result of working from home.

You can only claim for costs incurred directly as a result of your work, such as business phone calls or gas and electricity for your work area.

Normal running costs are not claimable. For example, in most cases, staff members will not incur any additional broadband costs as a result of working from home, because they would have a home internet connection anyway.

As claims are on an actual cost basis, they must be calculated for each claim made, rather than determining a regular or average figure.

Can your utility costs be claimed?

Claims for utility usage are based on the charges for which evidence is provided to show they are directly related to working from home. The easiest way to provide this is to calculate the difference in usage between working away from the home and working within the home.

This means that bills need to be provided as evidence of usage for a time when a home office space was not used and compared directly to usage when it is being used.

A like-for-like comparison based on cost alone is not sufficient to make a claim as other factors need to be taken into account, such as the standing charge (or equivalent) and a general increase in energy charges.

A further consideration is whether the entire increase in usage can be attributed to the home office and/or whether other home workers are using the space.

Additional costs must not be calculated on a pro-rata basis based on the size or business usage of the home nor should an estimation be used. An increase in the underlying fuel, utility or other costs will not be considered additional homeworking costs.

A description of how the claimed amount has been calculated and supporting evidence must be submitted with the claim.

Because providing evidence in this way could be an onerous task, our suggested route is to opt for the homeworking allowance to be paid as a fixed sum each month.

Can the costs of phone calls be claimed?

For business calls, details of the itemised business calls and charges must be provided. An estimation or a pro-rata split of overall costs will not be considered sufficient to support a claim.

What cannot be claimed for under actual costs?

Claims cannot be made for any amount of rent, mortgage, or standing charges for utilities and broadband or phone line rental as these would form part of the normal costs of running a home.

Claims will not be considered unless evidence is provided to show they are directly incurred as a result of your work – such as business phone calls, or gas and electricity for your work area.

Can staff members be moved to a home-based contract?

Staff members can be moved to a home-based contract if needed, but it is important to bear in mind that home-based contracts are likely to be appropriate only for a minority of staff members who carry out all of their normal duties from home and are rarely expected to attend the office. Very often, this is more likely to be the case where there is a significant distance to the nearest office.

It is important that the most appropriate contract is selected to ensure compliance with tax rules and to avoid any unexpected tax liabilities. For example, a home-based worker may be eligible to claim travel payments but where these are regular they are likely to be a taxable benefit.

Occasional, part-time, or full-time homeworking can all be facilitated by the flexibility of hybrid contracts.

MPs who are considering home-based employment are strongly encouraged to seek advice from the House of Commons Members HR team to ensure they are following best practice.

Members’ HR has produced detailed guidance on homeworking and other flexible working arrangements.

For staff members to be moved onto a home-based contract, the MP should complete a contract variation letter to amend the existing employment contract. Please send a copy of the variation letter to payroll@theipsa.org.uk.

For new starters, the MP must select the "home-based" option when using the contract generator tool. The new contract can be submitted to IPSA with new starter paperwork as normal.

Any new home-based contracts/variation letters received by the normal payroll cut-off date (the 15th of each month) will be taken into account when setting up payment of the allowance with that month’s payroll.

If contracts/variation letters are received after the payroll cut-off date, the allowance will begin from the following month and, if relevant, backdated to the effective date of the change.

Are staff members on hybrid or office-based contracts eligible to receive the homeworking allowance?

Staff on hybrid or office-based contracts are not eligible for the homeworking allowance.

MPs may claim for hospitality costs from their office costs budget.

This can include things like tea and coffee to offer visitors to the constituency office or refreshments at a meeting or event.

It is not intended to cover routine meal costs for the MP, staff members or others.

Subsistence costs can be claimed by MPs and staff members where they are travelling and staying overnight in line with the Scheme rules on using the travel budget.

Read more about Travel & subsistence.

As always, MPs are expected to consider value for money in their spending. IPSA funding cannot be claimed to cover tips or for the purchase of alcoholic beverages.

Contact IPSA

To get additional support, contact us.