City of London

[TheCyclingProgrammer]

So I work in Canary Wharf and have an offer of a new contract in Moorgate. Is that considered change to my journey?

There's no definitive answer to this, but all things considered, given their relative proximity and the fact that the journey cost is unlikely to be significantly different (or take much longer), then for tax/BIK purposes, HMRC would probably consider it the same location.

As I said earlier, I personally don't think the whole of London should be considered one giant single location but there's a difference from changing from one side of London to the other, to changing to a location a few stops away in the same travel zone.

[Anonimouse]

The difference in cost for me in those two journeys is 25 squid a week. And half an hour travel time

[DirtyDog]

The difference in cost for me in those two journeys is 25 squid a week. And half an hour travel time

If it currently costs you £5 and takes 5 minutes, then the change in journey isn't insignificant.

If it currently costs you £1000 and takes 10 hours a week, then the change in journey is insignificant.

IMHO.

[Bunk]

The difference in cost for me in those two journeys is 25 squid a week. And half an hour travel time

How?

They're less than 20 minutes apart and adding zone 1 to a travel card is about £10 a week.

[kevpuk]

And then there is the added potential complication of your base.

For me, I spent 6 months in Brentford last year, renting via Spareroom about a 2min walk from the office. Then, 4 months in Southampton (commuting from home in Bournemouth). Now, I am back in the wider area, but at Sunbury - approx. 8 miles from Brentford client - but am again renting in same accommodation in Brentford.
This means my Monday drive up (direct to Client) is around 8 miles less - basically turn off earlier - and then my daily commute is now 8 miles each way, instead of 2 min walk, and my Friday drive home is about 8 miles less than Brentford client last year. I am pretty sure that this will not be very defendable in terms of different location, in respect of 24 month rule

Of course, I could look for different place to stay in a significantly different location, but still suitably commutable.......

[Smartie]

Substantial

I'll be moving offices soon, changing from a 7.2 mile journey to a 5 mile journey.
This is around a 30% reduction in distance and also cost.
94.3% of scientists (and statisticians) would agree that 30% is a substantial change

[Bunk]

I'll be moving offices soon, changing from a 7.2 mile journey to a 5 mile journey.
This is around a 30% reduction in distance and also cost.
94.3% of scientists (and statisticians) would agree that 30% is a substantial change

And HMRC (whose opinion matters slightly more) would say that 2.2 miles is not substantial

Edit: Of course, if it's 5 miles in the opposite direction, then yes, that is substantially different.

[BoredBloke]

And HMRC (whose opinion matters slightly more) would say that 2.2 miles is not substantial

Edit: Of course, if it's 5 miles in the opposite direction, then yes, that is substantially different.

But that's part of the problem. As a percentage thats a fair chunk of the overall commute. To look at it another way - if my commute was previously 200 miles and its changed to a different site 20 miles away, in terms of the overall, that's not a massive percentage change, but it is in terms of the location. Probably the difference between Heathrow and Canary Wharf if your commute starts in Manchester.

The main problem I have with the 24 month rule is that it excludes me from working in a specific location for a period of time. My day rate in London tends to be 400-500 a day. My expenses tend to knock this down by about 100 a day - accomodation travel and food. That's about 25k a year. This is 25k that I don't have to extract from the business via a salary and batter my tax code on money that I have to spend to actually do the job.

[Bunk]

But that's part of the problem. As a percentage thats a fair chunk of the overall commute. To look at it another way - if my commute was previously 200 miles and its changed to a different site 20 miles away, in terms of the overall, that's not a massive percentage change, but it is in terms of the location. Probably the difference between Heathrow and Canary Wharf if your commute starts in Manchester.

The main problem I have with the 24 month rule is that it excludes me from working in a specific location for a period of time. My day rate in London tends to be 400-500 a day. My expenses tend to knock this down by about 100 a day - accomodation travel and food. That's about 25k a year. This is 25k that I don't have to extract from the business via a salary and batter my tax code on money that I have to spend to actually do the job.

But you've chosen not to live in London, and presumably you're benefitting from significantly cheaper property prices or rent. Why should your travel expenses be tax free forever to support that choice?

[BoredBloke]

But you've chosen not to live in London, and presumably you're benefitting from significantly cheaper property prices or rent. Why should your travel expenses be tax free forever to support that choice?

I worked quite happily around the north west for a good 10 years before having to cast the net further and further from home due to the ever declining number of commutable contracts. House prices are cheaper where I live, but that is also part of the problem. This differential means that I can't not afford a house in London given what my house up north is worth. Also I have a family who are firmly rooted up here - upping sticks and moving 200 miles south is not really an option. So the choice is to take a lower paid crap role somewhere in the country while I wait for the 24 month rule to be reset. As I said much earlier on, I'm on a tax imposed excile from London.

The point I'm trying to make (badly) is that I do not benefit from the expenses. The money I spend goes to the owner of a cheap hotel, a train company and series of places selling food. Given the choice I'd happily take a lower paid commutable role and get to stay at my cheaper home and eat food in my house and commute using my car. Unfortunaltly these roles are very few and far between (I'm on a commutable one now and the pay is tulipe) There should be some recognition in the fact that you have people like me who rather than sit around and watch everything go tits up, they are prepared to get up each monday at 4am to catch the 5:05 out of manchester, stay in some tulip hole, eat tulip food and spend time away from their loved ones rather than accept the situation up north and sign on.