Workers across the United Kingdom are facing a critical deadline, with just days remaining to claim tax relief worth up to £140 before the government scraps the scheme entirely. The working from home (WFH) tax relief, which has provided financial support for remote employees, is set to be axed from the next financial year, starting on April 5.
Urgent Warning for Remote Workers
Experts have issued a stark warning that employees could lose out on significant sums if they fail to act before the cut-off point. Olya Yakzhina, head of people and culture at Work.Life, emphasised the urgency, stating that Britons should immediately verify their eligibility to avoid missing out on potential refunds. "Work from home tax relief was one of the few formal acknowledgements of home-working costs as part of the post-pandemic hangover," she explained. "While its removal reflects a wider shift in how hybrid working is, rightly so, becoming increasingly common, the Government won’t be accepting any new claims after 5th April."
Eligibility Criteria Clarified
It is crucial to understand who qualifies for this relief. According to government guidelines, only those in completely remote roles are entitled to claim. Yakzhina clarified: "If you work from home in a completely remote role, then you are entitled to the WFH tax relief payment. However, if your contract permits you to work-from-home but you're obliged to attend the office under a hybrid working arrangement, then you cannot claim tax relief." She further noted that even if office access is restricted due to crowding or capacity issues, claims are not permitted; eligibility is strictly reserved for entirely remote workers.
How Much Can You Claim?
Eligible remote workers can claim tax relief on up to £6 per week, a figure that will be discontinued in the new tax year. This does not mean receiving the full £6 weekly, but rather tax relief based on that amount, depending on one's tax band:
- Workers earning £50,270 or less annually can claim 20% of £6, equating to £1.20 per week or £62.40 per year.
- Those with incomes between £50,271 and £125,140 can claim up to 40%, or £2.40 per week, totalling £124.80 annually.
- Higher earners above £125,140 per year are eligible for £2.70 weekly, amounting to £140.40 annually.
Backdating Claims for Maximum Benefit
A key advantage of this scheme is the ability to backdate claims up to four years, potentially allowing workers to recover substantial amounts. The government tightened eligibility from the 2022/23 tax year, but for the 2021/22 period, claims could be made even if an individual worked from home for just a single day. This means that Britons might be missing out on between £312 and £702 in unclaimed tax relief if they have not yet submitted their applications.
Impact and Statistics
As of early 2025, approximately 39% of British workers were entirely remote, qualifying them to claim on expenses such as gas, electricity, and business calls. With the fast-approaching deadline, there is a heightened sense of urgency among this demographic to secure refunds before the opportunity vanishes. Yakzhina advised: "Therefore, workers should be looking to see if they are eligible for claims and process them swiftly as possible to avoid losing out on potentially hundreds of pounds."
The removal of this tax relief marks a significant policy shift, reflecting evolving workplace norms post-pandemic. However, for those eligible, the immediate focus must be on submitting claims by April 5 to capitalise on this financial benefit before it is permanently withdrawn.
