FINANCE &
ADMINISTRATION
HOUSE OF COMMONS
DEPARTMENT OF FINANCE AND ADMINISTRATION - JULY 2006
The Green Book
Parliamentary Salaries, Allowances and Pensions

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Speaker’s Introduction
I am pleased to introduce this new version of the
Green Book, which updates the version published
immediately after the General Election.
Its principal aim is to set out in clear terms
to Members the information they need on pay,
allowances, pensions and responsibilities for
employees.  Further information on the
services provided to Members by the
Department of Finance and Administration
(and other House departments) can be found
in the Members’ Handbook.
The Green Book does not publish financial limits
on the salary and allowances for Members.
This information is available in the Quick Guide
which provides up to the minute details on these
areas as well as useful contact numbers for the
Department.  The Quick Guide is updated each
April when salary and allowances are increased.
Both the Green Book and the Quick Guide are
available on the Intranet.
Members themselves are responsible for ensuring
that their use of allowances is above reproach.
They should seek advice in cases of doubt and
read the Green Book with care.  In cases of doubt
or difficulty about any aspect of the allowances
or how they can be used, please contact the
Department of Finance and Administration.
The Members Estimate Committee, which I chair,
has recently restated the Department's authority
to interpret and enforce these rules.
I do hope that Members will find this new version
of the Green Book to be a helpful and useful
source of advice.
Speaker

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link to page 6 link to page 7 link to page 8 link to page 10 link to page 12 link to page 16 link to page 17 link to page 22 link to page 26 link to page 26 link to page 27 link to page 28 link to page 28 link to page 29 link to page 30 link to page 31 link to page 31 link to page 32 link to page 34 link to page 36 link to page 38 link to page 39 Contents
Introduction from Andrew Walker
3
Note from Terry Bird
4
1
Members’ Salaries
5
2
Members’ Pensions
7
3
Additional Costs Allowance (ACA)
9
4
London Supplement
13
5
Incidental Expenses Provision (IEP)
14
6
Staffing Allowance
19
and Employment Issues
7
Travel
23
General
23
Mode of travel
24
Standard travel
25
Constituency travel
25
Extended travel 
26
European travel
27
Spouse & child travel
28
Employee travel
28
8
Short Money
29
9
Resettlement Grant
31
10 Winding Up Allowance
33
11 Dissolution Arrangements
35
12 Computer Equipment,
36
Help For Members With Disabilities
& Security Measures
1

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Department of Finance & Administration
The Department of Finance & Administration
is located on the third floor of 7 Millbank.
Department of Finance & Administration
House of Commons
London SW1A OAA
1
Norman Shaw North
2
Norman Shaw South
3
1 Derby Gate
4
1 Parliament Street
5
Portcullis House
6
7 Millbank
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Introduction from Andrew Walker
Freedom of Information 
The House of Commons is a public authority under
the Freedom of Information Act 2000.  This means
that we are under an obligation to consider requests
for certain information about Members’ allowances,
and where appropriate to disclose it.  We summarise
and collate information about your allowances for
disclosure as part of the House's publication scheme
each autumn, and also deal with ad hoc requests for
disclosure.
Use of Parliamentary allowances
It is your responsibility to satisfy yourself when you
submit a claim, or authorise payments from your
I am pleased to have this opportunity to introduce
staffing allowance, that any expenditure claimed
my Department and to explain the services which we
from the allowances has been wholly, exclusively and
provide from our offices in 7 Millbank.  We have a
necessarily incurred for the purpose of performing
long history of serving Members, and we pride
your Parliamentary duties.  The Parliamentary
ourselves on the high quality of our service and on
Commissioner for Standards may investigate
our confidentiality.
allegations of improper use of the allowances.
If you overspend, or mischarge something to your
Departmental Services
allowances, we reserve the right to deduct the costs
We provide you with a wide range of financial and
from your salary or, if you are leaving the House,
advice services.  For example;
your resettlement grant.
G we pay your salary as a Member, and make
deductions for tax, national insurance and
We urge you to
contributions to the Parliamentary Contributory
G Provide all the necessary information with your
Pension Fund;
claims.  Documentary evidence is required for all
G we pay your parliamentary allowances and provide
items of spend of £250 or more, and for certain
you with monthly statements.  We give advice and
items below that amount.
rulings on the use of the allowances;
G Submit claims in a regular and timely fashion, using
G we operate a bureau payroll service so that you
the forms provided.  The allowance year runs from
can pay any employees funded through the staffing
1 April to 31 March, and we must receive claims for
allowance.  We also hold certain payroll records on
any given year before 31 May.
your behalf;
G Take seriously your responsibilities as employer of
G we oversee pensions for you and your staff;
your staff.  If you pay them out of your allowances,
you will be required to use standard forms of
G we give guidance on human resources issues in
contract and agreed pay ranges.
relation to your staff;
G we arrange certain insurance policies and provide
training for your staff;
G we provide health services, travel services (through
the Travel Office in Star Chamber Court), and the
Westminster Gymnasium (in Canon Row).
Andrew Walker
Director of Finance & Administration
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Note by Terry Bird, Director of Operations,
Department of Finance & Administration
The Operations Directorate, part of the Department
of Finance and Administration, is responsible for
administering and paying your salary and allowances
and the salaries of your staff and for overseeing all
pension arrangements.  The Directorate is determined
to provide the best possible customer service, and my
staff are always available to assist you where they can.  
The Directorate has been organised to ensure that
payments are accurate and timely and that your
queries are dealt with effectively.  Our service
standards are set out each year in the Department’s
Business Plan. 
The contact list below gives details of the main
sources of information and advice in the Directorate.
Most queries are about your pay and allowances or
your staff’s pay and for these you should contact the
Enquiries and Advice Team (EAT).  This team is trained
to help with a range of enquiries and they should
normally be your first port of call.  A new telephone
system has been installed recently and this has
improved considerably the Enquiry and Advice Team’s
ability to handle your calls at busy times.
I take Members’ comments and concerns about our
service extremely seriously.  I would personally like
to know when things have gone well and where they
have not. In this way we can constantly improve and
tailor our services to Members’ needs.
Terry Bird
Director of Operations
CONTACTS LIST
ENQUIRIES & ADVICE TEAM
020 7219 1340 or email
[email address]
MEMBERS’ PENSIONS
020 7219 4962 or email
[email address]
PERSONNEL ADVICE SERVICE
020 7219 2080 or e-mail
[email address]
If you have any suggestions for improving
the Green Book, please contact:
Operations Directorate Policy Unit,
email [email address]  
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Members’ Salaries   
Section 1
ENQUIRIES & ADVICE 020 7219 1340
FREQUENTLY ASKED QUESTIONS
When will I get paid?
Everyone is paid on the last working day of the month.
When do I have to notify the Department of any
By the 15th day of the month.
changes affecting the payment of my salary?
When do I receive my P60?
By the end of May.  Please keep it safe as we are not
allowed to issue duplicate copies.
When do I receive my P11D, to enable me to
By 6th July, the Inland Revenue statutory deadline.
complete my tax return?
Does the Department pay my
No, individual Government Departments
Ministerial salary?
will pay these.
When I cease to be a Minister am I entitled to
Yes, if you are under the age of 65 you are entitled
severance pay?
to three months’ Ministerial salary paid by your
Department, provided you are not appointed to
another Ministerial post within three weeks.
What arrangements are made for salaries during
You and your staff will be paid up to and including the
Dissolution?
day of the general election and continue uninterrupted
if you retain your seat.
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Members’ Salaries
Section 1
ENQUIRIES & ADVICE 020 7219 1340
1.1.1.
1.4.2.
The Department deals with Members’ pay, and the
The Tax Office that deals with you and your 
pay and expenses of Members’ staff.  All salaries are
employees is:
paid monthly in arrears, on the last working day of
Public Department 1
every month. 
Ty Glas Road
Llanishen
1.1.2.
Cardiff CF14 5XZ
If you change your address or your bank account
Telephone (switchboard) 02920 325201
please ensure that details reach us by the 15th of the
Fax number 02920 765642
month in which they are to be effective.
1.5.1.  Pay and Tax Information
1.2.1.  Members’ payroll
Everyone paid through the Department will receive a
Members’ salaries are governed by Resolutions of
P60 by the end of May, if they are still in employment
the House, and are increased annually on 1st April
at 5th April.  This contains statutory information
in line with Senior Civil Service pay.  The Department
relating to payments and deductions.
also pays certain Parliamentary Office Holders,
Select Committee Chairmen* and Members of the
1.5.2.
Chairmen’s Panel (Standing Committee Chairmen*),
The Department will also send you your form P11D
the Chairman of Ways and Means and both Deputies.
that sets out the taxable expenses and benefits you
The employing Department of State pays Ministerial
have received.  These are normally sent out at the end
salaries. 
of June or early July, to meet the Inland Revenue
deadline of 6th July.  The Department automatically
1.2.2.
sends copies to the Tax Office.
The Department cannot pay a salary until a new
Member takes the oath or affirms.
1.5.3.
If you make any payments in respect of your
1.2.3.
Parliamentary duties after the P11D has been sent
Contributions are automatically deducted from salary
to you it will be your responsibility to report these
in respect of the Parliamentary Contributory Pension
to Her Majesty’s Revenue & Customs (HMRC)
Fund and the Members’ Fund.  See section 2.
independently.
1.3.1.  London Supplement
Further details are available at section 4.
1.4.1.  Tax and National Insurance
Income Tax and National Insurance contributions are
deducted from salary payments under Pay As You
Earn regulations.  If you receive other income you
may be entitled to defer employee National Insurance
contributions.  You can obtain details from your local
Benefits Office.
*  Chairmen of the following Select Committees:
Select committees appointed under Standing Order
No. 152 (Select committees related to government
departments), the Environmental Audit Committee,
the European Scrutiny Committee, the Committee
of Public Accounts, the Select Committee on Public
Administration, the Regulatory Reform Committee,
the Joint Committee on Human Rights, the Joint
Committee on Statutory Instruments, the
Administration Committee, the Finance and Services
Committee, the Liaison Committee, the Procedure
Committee, the Committee of Selection, the
Committee of Standards and Privileges, the Select
Committee on the Crossrail Bill or a Committee of
another name which exercises the functions of any
of the Committees referred to above.
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Members’ Pensions
Section 2
MEMBERS’ PENSIONS 020 7219 4962
This is a brief summary of the main points.  Please contact the Pensions Unit for further copies of
the relevant booklet(s), application forms etc, and any other information you may require.
Am I in a pension scheme?
Yes. Once you have taken the Oath, you are a
member of the Parliamentary Contributory Pension
Fund (PCPF) from the day after you were elected. 
The PCPF has a supplementary section for Ministers,
paid Select Committee Chairmen, paid members of
the Chairman’s Panel and paid Office Holders.  Details
will be supplied at the time they become relevant.
Do I have to be in the PCPF?
No, you may opt out at any time provided you give at
least one month’s notice, and sign the special form
available from the Pensions Unit to confirm that you
understand the valuable benefits you are giving up by
choosing not to be in the PCPF.
How much does it cost me?
You can choose to make contributions of either 6% or
10% of gross pay (see below).  Once you have made
your choice, you cannot later change your mind, even
if you have a break in service.
The effect on your take home pay is much less than
the 6% or 10% contribution, as you benefit from relief
from tax at your highest rate, and also pay a lower
rate of National Insurance.
Why is my National Insurance contribution
While you are a member of the PCPF, you continue
reduced?
to build up rights to the Basic State Pension, but not
to the Additional State Pension.  (This used to be the
State Earnings Related Pension, and is now the State
Second Pension (S2P)).  The PCPF is allowed to
“contract out” because it provides benefits which
meet - and indeed substantially exceed - certain
minimum criteria.
What are the benefits?
If you pay 6% contributions, you normally build up
benefits at 1/50th of your final salary for each year
you are contributing to the PCPF.  If you pay 10%,
you normally build up benefits at 1/40th.
Why “normally” 1/40th or 1/50th -
The rules of the PCPF place limits on maximum
what are the exceptions?
pension you can build up.  If you have “retained
benefits” (pension benefits from other sources,
such as a previous company scheme or personal
pension/retirement annuity contract, whether or not
they have come into payment) at the time you join
the PCPF, these may restrict your PCPF benefits.
For your own protection, it is vital that you ask
the Pensions Unit for more information, and then
discuss this with your own professional advisers.
Can I top up these benefits?
You may be able to do so by paying extra personal
contributions.  Limits apply both to the amounts you
can contribute and to the benefits you can build up.
Please ask the Pensions Unit for more information.
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Members’ Pensions
Section 2
MEMBERS’ PENSIONS 020 7219 4962
At what age can I draw my pension?
You cannot draw your pension until you cease to be
an MP.  The normal pension age under the PCPF is
65.  Early retirement (including on grounds of ill health)
is possible, as is late retirement.  Again, please ask
the Pensions Unit for more information.
What benefits are payable if I die while I am a
A death gratuity of 4 x basic salary may be payable at
serving MP?
the Trustees’ discretion (unless you have opted out of
the PCPF).  You can obtain a Nomination Form
from the Pensions Unit.  Please update this if your
personal circumstances change.
Partners and dependent children are normally eligible
for dependents’ pensions.
Can I continue to contribute to my existing
Yes. With effect from 6 April 2006 the tax rules have
personal pension?
changed to allow you to continue to pay contributions
to a personal pension or stakeholder pension subject
to the annual allowance.
Why am I paying £2.00 per month
The House of Commons Members’ Fund is basically
to the HCMF?
a benevolent fund.  It provides for ex-Members who
find themselves in difficult straits.  Currently you have
to pay £2.00 a month from your salary to the fund.
(You receive tax relief on this contribution.)  We deduct
this automatically from your salary.  The fund is
managed by six trustees who are sitting Members
of Parliament.  The Public Trustee acts as Custodian
Trustee, with the Pensions Unit secretariat providing
administrative support.
For further information or assistance apply to:
The HCMF Trustees
c/o Pensions Unit Secretariat
Department of Finance and Administration
House of Commons
London
SW1A 0AA
What about pensions for my staff?
All of your staff who are on a contract of 3 months
or longer are automatically enrolled in a group
stakeholder pension (Portcullis Pension Plan) to which
the House of Commons contributes 10% of salary.
This cost is not taken from your allowances.
Your staff will also benefit from life assurance worth
twice their annual salary.  We will send full details to
all new employees.  Staff can opt out of these benefits
or pay additional contributions if they wish.
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Additional Costs Allowance (ACA)*
Section 3
ENQUIRIES & ADVICE 020 7219 1340
FREQUENTLY ASKED QUESTIONS
What can I claim?
Only those additional costs wholly, exclusively and
necessarily incurred to enable you to stay overnight
away from your only or main UK residence, either
in London or in the constituency.  If you receive the
London Supplement you will not be eligible.
What supporting documents do I have to provide?
We require receipts for items of expenditure of £250
or more (except for food), and for all hotel bills.  If you
are claiming rental or mortgage interest we ask for a
copy of your rental agreement or your latest mortgage
interest statement.  Please supply copies of all
relevant documentation if you change your
arrangements.
Section 3.8 explains the requirements more fully.
Can you pay my bills direct?
No, you must pay them yourself and claim
reimbursement from us.
Can I transfer costs into the next year’s
No, we can only reimburse expenses for the financial
allowance budget?
year in which they occurred.
What do I have to do if I want to change my
Please consult us in advance.  There are strict rules
mortgage or move home?
on the costs that can be claimed, and you may need
to change the nomination of your main home.
*  Sometimes referred to as the Living Away from
Home Allowance, Overnight Allowance,
Accommodation Allowance.
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Additional Costs Allowance (ACA)
Section 3
ENQUIRIES & ADVICE 020 7219 1340
3.1.1.  Scope of allowance
What you can claim if you are eligible for the
The Additional Costs Allowance (ACA) reimburses
allowance
Members of Parliament for expenses wholly,
3.4.1.  Location of overnight stays
exclusively and necessarily incurred when staying
If your main home is in the constituency, you can
overnight away from their main UK residence (referred
claim ACA for overnight stays in London - or in
to below as their main home) for the purpose of
another part of the constituency if reasonably
performing Parliamentary duties.  This excludes
necessary in view of the distance from your only
expenses that have been incurred for purely
or main home.  Please contact the Department of
personal or political purposes.
Finance and Administration for information on such
arrangements.
3.2.1.  Eligibility
You can claim ACA if:
If your main home is in London you can claim for
a
You have stayed overnight in the UK away from
overnight stays in the constituency. 
your only or main home, and 
If your main home is neither in London nor the
b
This was for the purpose of performing your
constituency you can choose in which of these areas
Parliamentary duties, and 
to claim ACA.
c
You have necessarily incurred additional costs
in so doing, and
If on your journey to London or your main home you
d
You represent a constituency in outer London
cannot practicably reach your destination on the same
or outside London.
day as your day of departure, you may claim the cost
Note: You cannot claim ACA if you represent an inner
of an overnight stay en route to your destination.
London constituency.1 Instead you will automatically
Any such arrangements must be cleared in advance
receive the London supplement with your salary. 
with the Department of Finance and Administration.
If you represent an outer London constituency1 you
can choose between receiving the London
See section 3.10.1. for definition of your main home.
supplement and ACA. 
3.5.1.  Avoiding duplicate claims
3.3.1.  Principles
You must inform the Department if you claim ACA
You must ensure that arrangements for your ACA
for a second home and you wish to claim against
claims are above reproach and that there can be no
the incidental expenses provision for any of the
grounds for a suggestion of misuse of public money.
costs associated with an office on these premises
Members should bear in mind the need to obtain
(eg: heating, lighting, decoration, furniture, telephones,
value for money from accommodation, goods or
etc).  You must make sure that you do not claim twice
services funded from the allowances.
for any element of these costs.
3.3.2.
3.5.2.
You must avoid any arrangement which may give rise
You must not claim ACA for more than one location at
to an accusation that you are, or someone close to
any time unless the DFA has specifically approved
you is, obtaining an immediate benefit or subsidy from
other arrangements in writing.
public funds or that public money is being diverted for
the benefit of a political organisation. 
3.5.3.
You must inform the Department if you are claiming 
3.3.3.
ACA in respect of a property which you share with
ACA must not be used to meet the costs of a
another Member.
mortgage or for leasing accommodation from:
O
3.6.1. Subletting, lodgers, paying guests etc
yourself;
O
You are strongly advised to avoid subletting or renting
a close business associate or any organisation or
out any part of a property for which you claim the
company in which you - or a partner or family
additional costs allowance.  However, if you have 
member - have an interest; or
such an arrangement you should send a copy of 
O a partner or family member.
the agreement with your tenant or lodger to the
Department.  We will reduce the ceiling on your 
claims for that year by the rental income for that year. 
1 See section 4 on the London Supplement, which lists
inner and outer London constituencies.
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Additional Costs Allowance (ACA)
Section 3
ENQUIRIES & ADVICE 020 7219 1340
3.7.1. Mortgages
3.10.2.
We strongly encourage Members to keep any
Subject to paragraphs 3.1.1. to 3.10.1. you can claim
mortgage arrangements for ACA purposes as
reimbursement for the expenses listed provided that
straightforward as possible.  Mortgages must be
they are wholly, exclusively and necessarily incurred in
taken out with a company subject to regulation by
the course of your Parliamentary duties.
the Financial Services Authority.  Please contact DFA
if you require further advice.
3.10.3.  Proportion of the allowance which may
be claimed during the year
3.7.2.
If you enter or leave Parliament† part way through the
allowances year, your allowance will be calculated on
If you take out a joint mortgage with someone who is
a quarterly basis.  For example, if the House is
not your spouse or partner you must contact DFA to
dissolved or you leave for some other reason in July
arrange to discuss the amount of any such mortgage
(ie during the second quarter) you will be entitled to
which can be claimed from ACA.  This will normally be
two quarters’ worth of ACA.  If you have spent more
based on the actual percentage of the mortgage for
than this you will be asked to repay the excess.
which you are responsible.
3.7.3.
3.11.1.  Definitions
Re-mortgaging is permissible if moving to different
Main home
accommodation or if repairing or improving your
When you enter Parliament we will ask you to give
existing ACA home.
the address of your main UK home on form ACA1
for the purposes of ACA and travel entitlements.
Members should consult the DFA before making any
Members are expected to locate their main homes
major commitments.
in the UK.  It is your responsibility to tell us if your
main home changes.  This will remain your main
3.8.1.  Documentation needed
home unless you tell us otherwise.
Please supply the following:
O If you have a mortgage, a copy of your last
The location of your main home will normally be a
statement of interest - and future statements at
matter of fact.  If you have more than one home, your
annual intervals.  If this does not give enough
main home will normally be the one where you spend
information about the mortgage, further evidence
more nights than any other.  If there is any doubt
may be required
about which is your main home, please consult the
O If you lease a property, a copy of your lease
Department of Finance and Administration.
agreement
O If you sublet or rent out a portion of your property,
Constituency
a copy of the relevant agreement with your tenant
For the purpose of the ACA, overnight stays within
or lodger
20 miles of your constituency boundary are regarded
O Any documentation relating to changes to these
as overnight stays within your constituency.
arrangements
O If you stay in a hotel, all hotel receipts
London
(including those under £250)
Similarly, for the purposes of the ACA, overnight
O Invoices/receipts for all items of expenditure of
stays within 20 miles of the Palace of Westminster
£250 or more (except for food.)
are deemed to be overnight stays within London.
3.8.2.
3.12.1.  Changes to your living arrangements
You must supply the address of your second home or
If you change the location of your main or second
hotel every time you complete a claim form.
home please let us know promptly, as it may affect
your ACA claim.  For example, if your constituency is
3.9.1.  Making a claim
outside London and you move your main home from
the constituency to London, this will mean that you
Please submit your claim monthly or quarterly using
can no longer claim ACA in London.
the ACA2 claim form.  We cannot pay suppliers direct
- you can only be reimbursed for expenses which you
have already paid.
3.10.1.  Allowable expenditure
You should avoid purchases which could be seen 
†  If you leave at a General Election your entitlement to
as extravagant or luxurious. 
the ACA will end on the date of Dissolution.
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Additional Costs Allowance (ACA)
Section 3
ENQUIRIES & ADVICE 020 7219 1340
3.13.1.  Examples of expenditure allowable
G
Basic security measures
under additional costs allowance
O door/window locks 
G
Rent - on one additional home in either London
O intruder alarms
or the constituency.  (If you claim for a rental
O external security lighting
deposit you must repay this when the deposit
is returned to you)
Other
G
Mortgage costs - for one additional home
O TV licence, parking permit
in either London or the constituency.  This is
limited to the interest paid on repayment or
Members should consult the DFA before making
endowment mortgages, legal and other costs
any major commitments.
associated with obtaining (and selling) that
home (eg: stamp duty, valuation fees,
conveyance, land searches, removal
expenses)
3.14.1.  The following expenditure
is not allowable:
G
Increases to mortgage costs (ie: re-mortgaging)
G
Living costs for anyone other than yourself
to pay for improvements to a property.  Interest
only will be paid, not capital, on re-mortgages
G
Repayments of the capital element of 
for this purpose
your mortgage
G
Interest foregone or notional interest on loans 
G
Increases to mortgage costs to pay for an
G
Payments toward endowment policies &
extension of an existing lease or the purchase
life insurance premiums
of the freehold.  Interest only will be paid.
G
Interest on any additional mortgages, advances
or loans secured on the same property unless
G
Hotel expenses - in either London or the
required for the repair or improvement of that
constituency.  (This may include overnight
property
accommodation and food but no alcohol)
G
Rental or mortgage costs for any part of your
property occupied by a lodger, paying guest
G
Other food - reasonable additional costs while
etc, unless this is offset against your claim
you are away from your main home
G
Mortgages not taken out with a company
subject to regulation by the Financial Services
G
Service charges
Authority
G
Computer equipment or services
G
Utilities 
G
The capital cost of repairs which go beyond
O heat
making good dilapidations and enhance the
O light 
property
O water
Please seek advice on what is allowable
O council tax
before committing to building works of
any sort
G
The costs of leasing accommodation
G
Telecommunications charges
from yourself
G
Furnishings or fittings which are antique, luxury
G
Furnishings
or premium grade
O white goods 
G
Entertainment or hospitality 
O electrical equipment
G
Travel
O other furnishings
(These costs should be claimed in the usual way)
G
Congestion charges
G
Maintenance & service agreements
G
Any expenses incurred during the dissolution
O necessary repairs to make good dilapidations
of Parliament
O decoration
G
Mobile phone rental and charges
G
Cleaning
If you are unsure about whether an expense may be met
from the allowance please contact the enquiries and
G
Insurance 
advice number before making any commitments.
O buildings and contents
If you do not, we may not be able to reimburse you fully
for costs you have incurred.
12

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London Supplement
Section 4
ENQUIRIES & ADVICE 020 7219 1340
4.1.1.  Scope of the London Supplement 
The London Supplement is payable to Members who represent certain constituencies in London.  It is
automatically paid to these Members with their salary and is subject to income tax and national insurance.
4.2.1.  Eligibility
You will automatically receive the London Supplement if you represent an inner London constituency.
If you represent an outer London constituency you must choose between the London Supplement or the
Additional Costs Allowance.  (See section 3 for details on this allowance.)
1. Inner London Constituencies
Battersea
Islington North
Bethnal Green & Bow
Islington South & Finsbury
Camberwell & Peckham
Kensington & Chelsea
Cities of London & Westminster
Lewisham Deptford
Deptford
Lewisham East
Dulwich & West Norwood
Lewisham West
Eltham
North Southwark & Bermondsey
Greenwich & Woolwich
Poplar & Canning Town
Hackney North & Stoke Newington
Putney
Hackney South & Shoreditch
Regent’s Park & Kensington North
Hammersmith & Fulham
Streatham
Hampstead & Highgate
Tooting
Holborn & St Pancras
Vauxhall
2. Outer London Constituencies 
Barking
Harrow East
Beckenham
Harrow West
Bexleyheath & Crayford
Hayes & Harlington
Brent East
Hendon
Brent North
Hornchurch
Brent South
Hornsey & Wood Green
Brentford & Isleworth
Ilford North
Bromley & Chislehurst
Ilford South
Carshalton & Wallington
Kingston & Surbiton
Chingford & Woodford Green
Leyton & Wanstead
Chipping Barnet
Mitcham & Morden
Croydon Central
Old Bexley & Sidcup
Croydon North
Orpington
Croydon South
Richmond Park
Dagenham
Romford
Ealing North
Ruislip Northwood
Ealing Southall
Sutton & Cheam
Ealing, Acton & Shepherd’s Bush
Tottenham
East Ham
Twickenham
Edmonton
Upminster
Enfield North
Uxbridge
Enfield, Southgate
Walthamstow
Erith & Thamesmead
West Ham
Finchley & Golders Green
Wimbledon 
Feltham & Heston
13

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Incidental Expenses Provision (IEP)
Section 5
ENQUIRIES & ADVICE 020 7219 1340
FREQUENTLY ASKED QUESTIONS
What can I use the IEP for?
You can use it to pay for: 
G
Office and surgery accommodation
G
Equipment and supplies for the office and/or
surgery
G
Work commissioned and bought in services
G
Communications and travel
G
Certain staff related costs.  (In order to meet these,
you must transfer funds into the staffing allowance)
Please see the detailed guidance in section 5.13. 
How do I claim?
There are three main ways to claim:
G
You can meet the bill yourself and claim the sum
back.  Use a Members’ Reimbursement form (C1).
(You can also use a Direct Payment to Staff form
(SA3) to reimburse an employee who has purchased
supplies for you)  
G
We can pay the supplier direct.  Use a Direct
Payment to Third Parties form (C2) and attach a
copy of the invoice
G
You can set up a regular payment arrangement. 
Use a Periodic Payments form (B1), and attach a
copy of your contract with the supplier. 
How long does it take for payment to be made? 
We aim to pay invoices within 7 working days of an
invoice reaching us.  Please submit invoices promptly.
What statements will I get?
The Department will send you a monthly statement
showing actual expenditure to date.
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Incidental Expenses Provision (IEP)
Section 5
ENQUIRIES & ADVICE 020 7219 1340
5.1.1.  Scope of the allowance
5.5.1.  Tax implications
The Incidental Expenses Provision (IEP) is available
The IEP is taxable and must be included in your tax
to meet costs incurred on Members’ Parliamentary
return, but expenses which Her Majesty’s Revenue
duties.  It cannot be used to meet personal costs,
and Customs (HMRC) accepts as wholly, exclusively
or the costs of party political activities or campaigning.
and necessarily incurred in the performance of your
The paragraphs which follow outline the main areas
Parliamentary duties are eligible for tax relief.
of expenditure which we recognise as incurred in
supporting these duties, but it is each Member’s
5.5.2.
responsibility to ensure that all expenditure funded by
Some of the items allowable under the incidental
the IEP is wholly, exclusively and necessarily incurred
expenses provision may nevertheless give rise to a tax
on Parliamentary duties.
charge.  For information about tax implications see the
booklet ‘MPs, Ministers and Tax’, obtainable from the
5.2.1.  Eligibility
Department, or contact HMRC on 02920 325201.
It is open to all Members of Parliament to apply for
the IEP.
5.6.1.  Transfers into and out of the IEP
You may choose to transfer money from the IEP to the
5.3.1.  Allowable expenditure
staffing allowance at any point in the allowances year.
The IEP may be used to meet the following expenses:
You may also transfer up to 10% of the staffing
O Accommodation for office or surgery use -
allowance to the IEP subject to the rules listed in
or for occasional meetings
section 6.3.1.
O Equipment and supplies for the office or surgery 
5.7.1.  Annual adjustment
O Work commissioned and other services
The IEP will be adjusted annually in line with the
O Certain travel and communications.
movement in the Retail Prices Index.  Each April,
In addition, you may transfer money from the IEP to
the Department will announce the increase in IEP
the staffing allowance to meet staffing costs.
for the year ahead.
5.3.2.
5.8.1.  At the end of the allowances year
Section 5.13. lists examples of allowable and
If part of the IEP remains unspent at the end of the
non-allowable expenditure under these headings.
allowances year, then - providing the spend was
Even if an item is listed in the category of allowable
incurred during that year - claims may be made
expenditure, it is only allowable if the spend is wholly,
against it for 2 months ie until the end of May.  In some
exclusively and necessarily incurred on Parliamentary
circumstances* you may carry forward an unspent
duties.  For further guidance please contact the help
balance or draw down money from the following year’s
numbers above.
allowance in advance.
5.4.1.  Proportion of the allowance which may be
5.9.1.  Avoidance of overspends
claimed during the year
We can process claims only whilst there are sufficient
The allowances year runs from 1 April to 31 March.
funds remaining in the IEP to cover these costs.
Subject to paragraph 5.4.2., there is no ceiling on 
You can augment the IEP with a transfer from the
the proportion of this allowance which you may 
staffing allowance or with an advance against a future
draw down at any point in the year.
year.  (See 5.6.1. and 5.8.1. above).  But you must not
top up the IEP with funds from outside the allowances.
5.4.2.
If you enter or leave Parliament part way through the
5.9.2.
allowances year your entitlement will be calculated on
If you have exhausted the IEP and cannot augment it, it
a quarterly basis.  For example, if you leave in July
will be your responsibility to meet any bills due from your
(ie during the second quarter) you will be entitled to
own resources.  The Department will not process these.
two quarters’ worth of the IEP.  If you have spent
more than this you will be asked to repay the excess.
5.10.1.  Verifiable expenditure
Evidence in the form of invoices or receipts must be
provided for all items of expenditure of £250 or more.
*  See factsheet available on the Parliamentary Intranet.
You can find it under ‘A’ for allowances in the site
index.
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Incidental Expenses Provision (IEP)
Section 5
ENQUIRIES & ADVICE 020 7219 1340
5.11.1.  Spend which may be met from the
Other issues
Incidental Expenses Provision
The following arrangements require 
Pages 18-19 give examples of expenditure which
particular care:
is allowable, provided that it is incurred wholly,
5.12.5.  Contracts for staff, services etc in
exclusively and necessarily on Parliamentary duties.
combination with accommodation
There are also examples of expenditure which is not
You must negotiate a separate contract for
allowable.  If in doubt please consult the help number
accommodation and another one for services
given at the top of this page.
(eg: staffing, telephony, use of photocopiers etc).
Any agreement for staffing facilities and/or services,
Rules on the arrangements for Members’
and the charges, must be set out in writing separately
constituency offices
from any agreement for accommodation.
Charges must be for actual, not nominal, services,
5.12.1.  Principles
and the service charges must accurately reflect the
You must ensure that arrangements for your office
levels of service provided.  You must lodge a copy of
and surgery premises are above reproach and that
the agreement with the Department and ensure that
there can be no grounds for a suggestion of misuse
any subsequent changes are notified in writing
of public money.  
immediately to the Department.
5.12.2.  Propriety
5.12.6.  Sharing arrangements between Members,
You must avoid any arrangement which may give rise
and sharing with Members of Devolved Bodies
to an accusation that you - or someone close to you -
and Members of the European Parliament
is obtaining an element of profit from public funds; or
Secure separate billing arrangements wherever
that public money is being diverted for the benefit of a
possible.  Where separate billing is not feasible you
political organisation.  The allowances must not be used
must lodge with the Department a copy of the
to meet the costs of leasing accommodation from:
agreement setting out how the costs will be divided.
If one Member agrees to meet the costs in full initially,
O Yourself (But see paragraph 5.12.9. on
and to recover from the other parties to the
using an office in your home)
arrangements you must lodge with the Department
O A close business associate, or any organisation
the agreement to do this.  The sums recovered must
in which you - or a partner or family member - 
be remitted to the Department for credit to the
have an interest
incidental expenses provision. 
O A partner or family member (which includes
5.12.7.  Sublets
relatives by blood and by marriage.)
In view of the practical difficulties which may arise,
you may not sublet accommodation which you lease
5.12.3.
and pay for out of the allowances.  [Exceptions may
If the accommodation is leased from a political party
be allowed for sublets existing in January 2002 when
or a constituency association, you must ask an
this restriction was introduced.]
independent valuer to assess the property in order
to ensure that it is being rented at no more than
the market rate.  See also paragraph 5.12.5. on
agreements for accommodation and services in
combination.
5.12.4.
You should seek advice from the Registrar of
Members’ Interests if the premises are provided 
rent free or at a rental below market rates. 
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Incidental Expenses Provision (IEP)
Section 5
ENQUIRIES & ADVICE 020 7219 1340
5.12.8.  Documentation required
5.13.1.  Examples of expenditure allowable
You must lodge a copy of the following with the
under the incidental expenses provision
Department of Finance and Administration 
Office and surgery accommodation
O A copy of your lease and any sublease
NB: You must lodge copies of all office leases
O A copy of a recent independent valuation
with the Department of Finance and Administration,
(required only if you lease from a political
keep them updated and ensure that they fully
organisation or if you sublet part of the premises).
comply with the rules listed in Section 5.12.
This must be updated if and when rental costs
exceed figures shown in independent valuations.
Please seek advice from the
Department of Finance and Administration
O A copy of any agreement for cost sharing
on what is allowable before committing to
(required only if you share with another Member,
building works of any sort
with a Member of a devolved body or a MEP) 
O A copy of any agreement for services with your
Allowable expenditure: 
constituency association or other party political
O
organisation. 
Rental, surveyors’ and lawyers’ fees
O Hiring facilities for surgeries or meetings
You must also inform the Department of any
O Payments to utilities: rates, water, gas, 
alterations to the terms of these.
electricity
O Repairs and alterations if required by your lease,
5.12.9. Homes used as offices
provided that these do not go beyond making
You may use as an office for your Parliamentary duties
good dilapidations and thus enhance the value
any part of your home, or of any other building which
of the property.
you lease or own.  You may claim for any additional
O Measures to ensure office security1, better
costs incurred (eg: extra telephone lines, heat, light)
health and safety or accessibility for the disabled
but not leasing or mortgage costs.
O Additional costs of using part of the home as 
an office - provided this is set aside as an office.
5.12.10.  Occasional use of office premises
If you claim ACA for this home you must take
by others
particular care to ensure that you do not claim
You should charge for occasional use of your
twice for the same expenses
premises by others.  (This must not exceed 20 days
O Insurance for office premises  (It is your
per year.) The charge should be set at a level which
responsibility to arrange insurance for your office
reflects a proportion of the leasing costs and the cost
premises.  You are advised to check whether
of any services used.  You should ensure that full and
your policy includes cover for acts of terrorism.) 
proper accounts are kept of all relevant transactions.
All income received must be credited back to your
Incidental Expenses Provision.
Expenditure not allowable:
5.12.11.  Information required by the
O Buying accommodation or vehicles 
Inland Revenue
O Rental or mortgage costs for your home
You should note in your tax return any income derived
O Repairs and alterations which would enhance
from letting or sharing your office, and from occasional
the value of your home or office  (But certain
use of the premises by others etc.
security measures may be permissible.)
O Security for your home.  (However, the
allowances may be used for additional security
measures limited to any part of a home which
is used as an office.)
1 Further details are available on the Parliamentary Intranet
see under ‘A’ for allowances in the site index and from the
Enquiries and Advice Team on 020 7219 1340.
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Incidental Expenses Provision (IEP)
Section 5
ENQUIRIES & ADVICE 020 7219 1340
Equipment and supplies for the office
5.13.2. Work commissioned and
and/or surgery
bought in services
Note: With the exception of costs associated with
5.13.3. Allowable expenditure:
publications and websites, the costs listed below
O Purchase or lease of photocopiers, faxes,
may also be met from the staffing allowance,
scanners, phones and other office equipment,
provided that in any given year the costs of work
including computers3
commissioned do not exceed 25% of that budget.
O Purchase of office furniture
O Purchase of stationery and consumables
Allowable expenditure:
O Purchase of hardware and software.
O Professional advice eg from accountants,
valuers or lawyers
O Cleaning, janitorial or reception services
Expenditure not allowable:
O Maintenance services for hardware, software
O Hospitality and entertainment
and equipment
O Camcorders
O Interpreting and translation services
(This includes sign language, interpretation and
5.13.4. Communications and travel
Braille translation) 
O Research and media scanning services
Allowable expenditure:
O Consultancy, eg: on software or websites
O Postage
O Insurance for office contents other than centrally
O Constituency telephone costs including line rental
provided computers, legal costs insurance
O Printing and sending newsletters4, establishing
O Occupational health advice or services for staff
and maintaining websites.  Advice can be sought
O Training for Members and/or their staff1
from the Department of Finance and
O Recruitment services
Administration, and information Factsheets may
O Work that you would reasonably expect a
be found on the Parliamentary Intranet 
member of your staff to undertake.
O Accommodation during trips funded by
extended travel
O Subscriptions, eg: to newspapers or periodicals
Expenditure not allowable:
O Recruitment and recruitment advertising costs
O Advice for individual Members on self promotion,
O Data Protection Notification to the Information
or PR for individuals or political parties.
Commissioner
O Any insurance which is bought by the House
O Staff travel if not paid for from central funds
centrally.2 This includes:
O Taxis and private hire cars for permitted UK travel
• public liability
(You must provide receipts and journey details.)
• employers’ liability 
See Section 7.1.2.
• personal accident for Members and their
O Reasonable international internet or telephone
spouses
charges, but excluding rental and standing
• travel for Members while abroad
charges.
• defamation
• accidental loss and damage for centrally
Expenditure not allowable:
provided computers etc
• professional liability.
O Campaigning on behalf of a political party
or cause
1
O Communications or travel on personal or
Details of training, seminars and induction for Members’
party political matters
staff can be obtained via the website www.w4mp.org
2 Further details on insurance are available in the DFA
O Travel and/or accommodation for anyone who
publication, “Working to protect you” and on the
is not a Member or their employee
Parliamentary Intranet.  See under ‘A’ for allowances
3
O Wreaths, greetings messages and cards etc
Members are entitled to centrally provided IT equipment -
further details are on the Intranet under ‘C’ for computers
O Hospitality and entertainment
information and services.
O Surveys and questionnaires4.
4 Further details are available on the Parliamentary Intranet.
See under ‘A’ for allowances.
If you are unsure about whether an expense may be met from the allowance it is very important that you contact the
Enquiries and Advice Team on 020 7219 1340 before making any commitments.  If you do not, we may not be able to
reimburse you fully for costs you have incurred.
18

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Staffing Allowance and Employment Issues
Section 6
Advice on personnel or employment practice 020 7219 2080 or e-mail  [email address]
ENQUIRIES & ADVICE 020 7219 1340
FREQUENTLY ASKED QUESTIONS
How do I know how much money I have in this
The Department will tell you at the start of the
allowance each year?
allowances year, which begins on 1 April.
See explanation in section 6.6.1.
How do I arrange payment for a new employee? 
Ask the Department for a new starter pack which
contains information for your new employee and a
copy of a form SA1 for you to fill in before your
employee is paid.
Do I need to give my staff a contract of
Yes.  You must provide a contract of employment to
employment?
your employee within 8 weeks of them starting work.
A copy must be sent to the Personnel Advice Service,
Department of Finance and Administration. 
How do I change the salary of an existing
Ask the Department for a copy of form SA2.
employee?
What monitoring information will I receive? 
We will issue a projection at the beginning of the
allowances year.  We will update this as needed when
your staffing arrangements change.
Can I make a payment to an employee myself
No.
and then claim reimbursement from my staffing
allowance?
Can you pay for cover when employees are off
You may be able to claim temporary secretarial
on maternity leave or sickness absence?
allowance.  You can find out about this via a factsheet
available on the Parliamentary Intranet.1
Can I move money out of my
Yes, but only if you have a constituency office
staffing allowance?
registered with the Department and you use the funds
to meet the costs listed as allowable in 5.13.1.
1 See under ‘A’ for allowances
on the Parliamentary Intranet.
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Staffing Allowance and Employment Issues
Section 6
Advice on personnel or employment practice 020 7219 2080 or e-mail  [email address]
ENQUIRIES & ADVICE 020 7219 1340
6.1.1. Scope of allowance
6.4.2.
The staffing allowance is available to meet the costs
If you enter or leave Parliament part way through the
wholly, exclusively and necessarily incurred on the
allowances year your entitlement will be calculated on
provision of staff to help you perform your
a quarterly basis.  For example, if you leave in July
Parliamentary duties.  Further details of allowable
(ie: during the second quarter) you will be entitled to
expenditure are set out at paragraph 6.10.1.
two quarters' worth of the staffing allowance.  If you
have spent more than this you will be asked to repay
6.2.1.  Eligibility
the excess.
Subject to the paragraphs which follow, all Members
of Parliament may draw on the staffing allowance
6.5.1.  Paying for bought-in services
to pay their staff.  It is a Member’s responsibility to
The costs of bought-in services may be met from the
ensure that staff paid from this allowance are:
IEP, or alternatively from the staffing allowance.  If you
O employed to meet a genuine need in supporting
charge bought-in services to the staffing allowance
you, the Member, in performing your
the total costs in any allowances year may not exceed
Parliamentary duties;
25% of that allowance.  (See section 6.10.1. for
O
guidance on those bought-in services which are
able and (if necessary) qualified to do the job;
regarded as allowable.)
O actually doing the job
and that the resulting costs, in so far as they are
6.6.1.  Annual adjustment
charged to this allowance, are reasonable and entirely
The ceiling on the staffing allowance will be adjusted
attributable to the Member’s Parliamentary work.
annually in line with the movements in pay for similar
jobs outside the House.  At the beginning of each
6.3.1.  Transfers to and from the staffing allowance
allowances year the Department will advise Members
If you have a constituency office registered with the
of the ceiling for their staffing allowance.  We will
Department, you may transfer money from your
not however uprate the pay of Members’ staff
staffing allowance to your IEP to meet costs listed in
automatically.  If you wish to increase the pay of your
paragraph 5.13.1.  The sum to be transferred must be
staff, please notify the Enquiries & Advice Team.
O a minimum of £500
6.7.1.  At the end of the allowances year
O no more than 10% of the relevant year’s staffing
If part of the staffing allowance remains unspent
allowance.
at the end of the allowances year, then for a further
2 months until the end of May you may draw on
6.3.2.
the unspent allowance, eg for bonuses or overtime
Except as set out in 6.3.1. above, you may not switch
payments - providing that these relate to work done
funds out of the staffing allowance for use elsewhere.
during the year in question.  See also paragraph
6.10.1. for rules on bonuses.
6.3.3.
You may supplement the staffing allowance by
6.7.2.  Carry forward of unspent amounts at year
drawing on any surplus funds either from your own
end and provision for advances
Parliamentary salary or from the incidental expenses
If you have specific spending plans you can apply to
provision.
carry forward up to 10% of the staffing allowance at
year-end.  In certain circumstances you can also ask
6.4.1.  Period for which claims may be submitted
for an advance.1
The allowances year runs from 1 April to 31 March.
Subject to the paragraph which follows, there is no
ceiling on the proportion of this allowance which you
may draw down at any point in the year.
1 Further details are in a factsheet available on the
Parliamentary Intranet.
See under ‘A’ for allowances.
20

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Staffing Allowance and Employment Issues
Section 6
Advice on personnel or employment practice 020 7219 2080 or e-mail  [email address]
6.8.1.  Avoidance of overspends
6.9.6.
You must ensure that funds are available to meet
When you take on an employee you must
all commitments.  If the staffing allowance is
O complete Form SA1 and forward it to the
exhausted and you have commitments to pay staff,
Department.  We need to receive this by the
the Department will only honour these if you transfer
15th of the month in order to include your new
money into the staffing allowance in advance from
employee on the monthly payroll. 
the incidental expenses provision or out of your own
O complete an employment contract and job
Parliamentary salary.  The Department of Finance and
description and lodge this with the Department
Administration is not empowered to honour your
within 8 weeks of your employee’s start date.
commitments if you do not do this.
If we do not receive this we will take steps to
6.9.  Employment issues
remove your employee from the payroll.
6.9.1.  The role of employer
6.9.7.  Pay increases and changes to terms
and conditions
You, not the Department, have the responsibilities
of employer towards any employees paid from your
We will adjust the ceiling on your staffing allowance
staffing allowance.  It is your responsibility to ensure
each year in line with the movement in pay for similar
that you conform with employment law.
jobs outside the House.  We will not however uprate
the pay of your staff automatically. This is a decision for
6.9.2.  Taking on employees
you as employer. lf you wish to increase the pay of your
staff, please notify the Department using form SA2.
Employees who are paid from your staffing allowance
must be paid in accordance with the pay ranges
6.9.8.  Record keeping 
linked to the job descriptions and standard contracts
prepared by the Department and approved by the
As part of our payroll service we will keep records
Advisory Panel on Members’ Allowances.  These are
of payments made.  However you are responsible
available both on the Parliamentary lntranet and also
for keeping other records eg of contractual changes
on the website www.w4mp.org
(please also notify the DFA), holiday taken by your
employees and sickness absence.
6.9.3.
6.9.9.  Absence from the office
The Department provides standard employment
contracts which you must use when taking on new
If you have an employee who is absent because of
employees.  But it is important that you understand
sickness you must forward any relevant certificates
your responsibilities as an employer and that your
to the payment and payroll control section.
employees understand their responsibilities.
6.9.10.
6.9.4.
If you have an employee who is absent for more than
Exceptions in respect of standard employment
two weeks on sick leave, adoption leave, maternity
contracts and pay ranges may be made for staff who
leave or because of a disability within the meaning of
were employed before 5 July 2001 and therefore have
the Disability Discrimination Act 1995 you may be able
pre-existing employment rights, self employed staff
to claim temporary secretarial allowance1 to meet
who are recognised as such by the lnland Revenue
the costs of a substitute employee or contractor, or
and a very small number of staff approved by the
additional hours for your other staff.  We will require
Department who are employed on non-standard jobs
documentary evidence of the reason for your
eg facilitators for disabled Members.
employee's absence.
6.9.5.
6.9.11.  Further Information 
You may wish to incentivise or reward staff by giving
We provide a Personnel Advice Service for Members
them one-off bonuses.  Bonuses are limited to 15% of
(020 7219 2080, or e-mail [email address]) staffed
the gross annual salary received by that employee in
by professional HR practitioners.  We recommend that
the year in question.
you seek advice promptly in the event of problems
with performance, attendance etc.  Please note that
this service is not established to give specific legal
advice to Members on individual cases.  Members
should seek their own legal advice as appropriate.
1 Further details are in a factsheet available on the
Parliamentary Intranet.
See under ‘A’ for allowances in the site index.
21

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Staffing Allowance and Employment Issues
Section 6
Advice on personnel or employment practice 020 7219 2080 or e-mail  [email address]
When your staff leave 
Allowable expenditure
6.9.12.
O Staff salaries and employer’s NI - provided that
for any staff taken on since 5 July 2001, they are
Please notify the Department using form SA4.  You can
employed on approved standard contracts and
use this form to notify us of any payment which needs
their salaries and contracts meet the
to be made for holiday not taken etc.
Departmental rules 
6.9.13.
O Overtime payments
If you make an employee redundant but you are not
O Bonuses/performance awards1
yourself leaving the House you may need to make a
O Payments to self-employed staff recognised as
redundancy payment.  This will come from your own
such by the Inland Revenue
allowances.  (But if you are leaving the House, statutory
(Public Department 1) in Cardiff
redundancy payments will come from central funds.)
O Payments for bought-in services
(See section 5 for further guidance)
Pensions contributions 
O Severance pay or pay in lieu of notice if payable
6.9.14.
O Settlements made at tribunals and court 
If you have employees who are paid out of the staffing
hearings (and in advance of such hearings)
allowance and they work for you for three months or
The allowances will not meet the costs of
more we will normally make regular payments from
punitive damages, ie: where a court awards
central funds equivalent to 10% of salary to the
damages against you because your actions
Portcullis Pension Plan.  The Plan is a group
towards another were seen to be deliberate2
stakeholder arrangement.  The 10% can be paid to
one of the two nominated providers, or split between
O Travel, subsistence and/or expenses for staff
them either as your employees choose, or 50:50 as
and volunteers.3  (Must be paid through the 
a default arrangement.
payroll as a tax charge may be incurred)
O Reasonable cover for staff absences
We will send full details of the Plan to all new
(eg: for caring, maternity, parental leave or
employees. 
sickness absence) of up to 2 weeks 
O Pay of cleaning staff
6.10.1.  Allowable expenditure
(Exceptionally, the new pay guidance does
The following list below gives examples of expenditure
not apply)
which are allowable, provided that the expenditure 
O Meals and subsistence
is wholly, exclusively and necessarily incurred on
O Additional pensions contributions for
Parliamentary duties.  It also gives examples of
Members’ staff 4
expenditure which is not allowable.  If in doubt please
consult the help numbers given. 
O Childcare costs4, 5
O Contributions to private healthcare schemes
for Members’ staff 4
O Non-repayable season tickets for Members’ 
staff.4
1 Bonuses paid during the year may not exceed 15% of that
employee's gross annual salary/received in the year.
Expenditure not allowable:
2 Litigation. Members finding themselves involved in litigation
O Salaries of staff taken on since 31 July 2001
solely relating to actions arising from the performance of
who are employed on pay rates which do not
their duties as a Member of Parliament or as an employer
should contact the Director of Operations, Department
conform with the pay guidance issued by the
of Finance and Administration.  If the action relates to an
Department of Finance and Administration;
employee, please seek advice from the Department.
or on non-standard contracts unless specially
3 You are encouraged to pay subsistence for your staff if
authorised by the Department
they attend training activities away from their work place.
4
O Staff who are employed on party political duties
These should be considered as part of the overall
or non-Parliamentary duties
remuneration package for the purpose of the guidance 
on salaries issued by the Department of Finance and
O Gifts valued at over £10
Administration.  They should not be paid in addition to 
O Hospitality or entertainment, such as Christmas
the recommended salary levels.
5
parties or lunches.
Members’ employees may claim childcare vouchers
from central funds.  Further details are available on
O Ex gratia payments, except as authorised in the
the Parliamentary Intranet, under ‘C’ for childcare in the
Green Book or by the DFA.
site index.
22

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Travel Entitlements
Section 7
ENQUIRIES & ADVICE 020 7219 1340
7.1.1.  General
7.1.4.  Allowable journeys
The House will fund reasonable travel and associated
parking for your vehicle provided that the costs are
The following are allowable provided that the travel
wholly exclusively and necessarily incurred on
was undertaken on Parliamentary duties. 
Parliamentary duties such as:
a Standard travel: Travel by the recognised direct
O Attendance in the Chamber, in Westminster Hall
route between any two of the following three
or in committees of the House
points:
O Visits to constituents
O Your main home1, Westminster, the
O
constituency.
Other visits to undertake constituency casework
Section 7.2. gives further details.
or where required for general constituency
matters
b Constituency travel: Travel within the
O
constituency, and travel within a 20 mile radius
Surgeries and advice sessions
of the constituency boundary.
O Other issues relating to matters currently before
Section 7.3. gives further details.
the House or before a select committee on which
c Extended travel within the UK.
you serve
(This requires advance authorisation.)
This is limited to journeys listed in 7.1.4. below. 
Crown dependencies are not allowable.
Section 7.4. gives further details.
7.1.2.
d European travel.
Provided that the journey is allowable under one of the
(This requires advance authorisation.)
four categories listed in 7.1.4. below, the House will
Section 7.5. gives further details.
meet the costs of:
O Fares for journeys by public transport.  This may
include sleeping berths for overnight journeys
Journeys which are not allowable
O Mileage for cars, motorbikes or bicycles
7.1.5.  You cannot claim for:
O Reasonable parking
O Journeys on party political business eg to party
O Taxis and private hire cars at car mileage rates only.
conferences, party events
(If you wish to claim the full costs, you may use
O Journeys to private destinations
your incidental expenses provision.
O Journeys within the UK other than a to d above 
You must provide receipts and journey details.) 
O Journeys to European destinations - other than
those allowed under European travel.
7.1.3.  What cannot be claimed?
You cannot claim for:
O Subsistence
(Except for European and extended travel which
can be claimed from your IEP)
O Travel fares for anyone other than you, your staff
and family as set out in the guidance which
follows.  You may however carry passengers
with you in your car 
O Congestion charges or tolls
O Costs of leasing or purchasing a vehicle
(The car mileage rates include an element to
cover purchasing costs.)
1 If you are claiming additional costs allowance, this 
home must be the same as the main home for ACA.
Please see section 3 on the ACA for a definition of your
main home.
23

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Travel Entitlements
Section 7
ENQUIRIES & ADVICE 020 7219 1340
Mode of travel
7.1.6.  Using your car, motorbike or bicycle
7.1.12.  Travelling by rail, air, ferry etc.
You will be reimbursed for mileage at standard rates,
If you make a permitted journey by such means you may:
found in the Quick Guide to Members’ Allowances.
O Pay using a House of Commons Travel card or 
O Buy a ticket yourself and claim back the costs
7.1.7.
using form T2.1
The DFA calculate car mileage for standard travel
using the Autoroute digitised mapping system.
7.1.13. Travel Cards
7.1.8.
Instructions for the use of the travel card are
contained in the folders which were given to all
Please note that you must notify us if you are driving in
Members when the cards were introduced.
a car which is not wholly owned and maintained by
you, as a lower mileage rate will usually be paid.
7.1.14.
You are encouraged to purchase your tickets via the
7.1.9.
Parliamentary Travel Office if at all possible, so that
In some circumstances, we will also pay the mileage
the House can benefit from route deals.
rate if you drive or are driven in a vehicle owned and
maintained by someone else.  You must undertake to
7.1.15.
pass this sum on to them. 
You may buy a season ticket to the Westminster area
with your travel card if you make four return journeys
7.1.10.
per week during sitting weeks.
If you use your vehicle for constituency travel  you
may need to record mileage in some circumstances.
7.1.16.  Class of travel
See Section 7.3.2. for an explanation.
There is no restriction on the class of travel for
Members.
7.1.11.  You can claim for
O The cost of mileage at House of Commons rates
7.1.17.
(see the Quick Guide for these).
Members’ employees are generally expected to travel
O The cost of parking associated with permitted
via standard class.
journeys, where necessary for your parliamentary
duties.  This includes season tickets for parking
7.1.18.  Prompt submission of claims
in certain circumstances.
We ask you to submit claims promptly, and in any
But not for
case within 2 months of the end of the allowances
O Congestion charges
year to which they relate. 
O Road tolls
O
7.1.19.  Tax
Long term parking
O
There are complex rules on the taxability of journeys.
Garaging
These are set out in the booklet ‘MPs, Ministers and
O Parking at your home
Tax’, available from the Department, or via HMRC
O Parking fines
(020 7273 8052).
O The cost of buying or hiring a car.
1 Travel warrants were replaced with a corporate travel card
after 1 April 2006
24

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Travel Entitlements
Section 7
ENQUIRIES & ADVICE 020 7219 1340
Standard travel
Constituency travel
7.2.1.  Allowable journeys
7.3.1.  Allowable journeys
Standard travel is travel between any two of the
Constituency travel includes:
following three points: the constituency, Westminster
and your main home, (as defined in paragraph 3.9.1.).
O Travel within the constituency and
O Travel outside the constituency but within
How to claim
20 miles of the constituency boundary and
7.2.2.  Registering your journeys
O Travel between the constituency and local or
You must pre-register your standard journeys.
regional offices of government departments
Normally this is done when you first enter the House,
and the offices of local authorities.
but you must tell us of any change to your standard
destinations, such as a move of home.
7.3.2.  How to claim mileage
Use a Standard Mileage form (T1).  If you drive 350
7.2.3.
constituency miles or more per month you must
When you register standard journeys you will be given
provide a breakdown by date, destination, frequency
a code for each part of the journey.
and miles for all constituency miles driven that month.  
7.2.4.  How to claim: mileage
7.3.3.  How to claim travel by rail, car, ferry etc
Complete a Members’ Mileage form (T1) and quote
Either:
the code that has been given for that part of the
O Use your House of Commons corporate travel
journey, and the date, for example: 
card to pay for the tickets, or
car from home to station 
O Pay for the tickets yourself and claim
(Birmingham New Street) (A)
23 May 06
reimbursement using form T2.
train from Birmingham to London (B)
23 May 06
You can also claim reasonable parking costs if
necessary for your Parliamentary duties.  Please
submit any tickets and receipts, and provide details
on your mileage claim form.  If you are claiming for
a season ticket, please explain how this will provide
value for money.
7.2.5.  How to claim: travel by rail, air, ferry etc
You are encouraged to purchase your tickets via the
Parliamentary Travel Office if at all possible, so that the
House can benefit from route deals.  Please use your
House of Commons corporate travel card, or pay for
the tickets yourself and claim reimbursement on form
T2.
7.2.6.  How to claim for a diverted journey
Please notify us if you divert from a standard journey
to undertake another engagement.  Unless it is a
destination allowable for extended travel, you will be
able to claim only for the standard journey. 
25

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Travel Entitlements
Section 7
ENQUIRIES & ADVICE 020 7219 1340
Extended travel
7.4.5.  You can claim in the following ways
O Use your House of Commons corporate travel
7.4.1.  Allowable journeys
card to pay for the ticket(s), or
Extended travel is travel within the UK other than
O Pay using your own money and claim
constituency or standard travel.  Any expenditure
reimbursement using form T2.
must be wholly, exclusively and necessarily
incurred on Parliamentary business and the
7.4.6.  How to claim mileage
journey must:
If you want to claim mileage, use a form ET.  You can
O Relate to a matter currently before the House; or
also claim reasonable parking costs if necessary for
O Relate to a matter currently before a select
your Parliamentary duties.
committee on which you serve; or
O Be to a constituent (eg: a jailed constituent)
7.4.7.  Subsistence
or relevant as a general constituency matter
You can claim subsistence for extended travel, but
(eg a road about to be built through the
you must charge this to your own incidental expenses
constituency); or
provision.
O Be to a UK Parliamentary assembly. 
7.4.2.
Travel to Crown dependencies is not allowable.
7.4.3.  How to claim
Complete an Extended Travel form (ET) at least three
days before your journey, and await authorisation.
We will authorise your journey in writing.  If you travel
without authorisation we may not meet the costs you
have incurred.  
7.4.4.  How to claim: rail, air, ferry etc
You are encouraged to purchase your tickets via the
Parliamentary Travel Office, so that the House can
benefit from route deals.
26

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Travel Entitlements
Section 7
ENQUIRIES & ADVICE 020 7219 1340
European travel
7.5.6.
You are encouraged to purchase your tickets via the
7.5.1.  Allowable journeys
Parliamentary Travel Office, so that the House can
You can claim for travel on Parliamentary duties to: 
benefit from route deals.
O EU institutions and agencies
O The national parliaments of:
7.5.7.  How to claim
O EU member states
After the journey inform the Department in writing of
the costs incurred and submit supporting documents.
O EFTA member states
O EU candidate countries
7.5.8.  Select committee and delegation travel
O EU applicant countries
These are funded through separate arrangements.
7.5.9.
7.5.2.
If you are a member of a select committee, the Clerk
The Department can provide a list of the above.
will advise on how to claim.
Other destinations are not allowable.
7.5.10.
7.5.3.  Advance authorisation
If you visit the Council of Europe, the Western
You must complete a European Travel (Euro1) form
European Union or the North Atlantic Assembly as
at least 30 days before your journey and wait
part of a delegation, the Overseas Office will advise
authorisation.  If you travel without authorisation
on how to claim.  
we may not meet the costs you have incurred.
7.5.4.  What you can claim
You can claim each year for up to: 
O 3 return visits (subject to an annual cost ceiling
equivalent to three times the business class
airfare per Member) and 
O Two nights’ subsistence per visit.  This will be 
paid at the Civil Service Class A rate.
7.5.5.  The costs of the return journey may include
O Travel by car, bicycle or motorbike, in which case
you may claim mileage, and/or
O Travel by air, sea, rail or by any other means of
public transport excluding taxis;
O Parking at the UK port or airport.
(The daily subsistence rate is set at a level to
cover parking abroad). 
You must buy any tickets yourself and claim back the
costs.
27

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Travel Entitlements
Section 7
ENQUIRIES & ADVICE 020 7219 1340
7.7.4.  Class of travel
Spouse and child travel
Members’ employees are generally expected to travel
via standard class.
7.6.1.  Allowable journeys
Members’ spouses, civil partners and children up
7.7.5.  Subsistence
to the age of 18 1 are each entitled to up to 30
If your employees have to spend more than 5 hours
single journeys each year between London and the
away from home and away from your normal
constituency or the Member’s main home.
workplace, we recommend that you pay subsistence
out of your staffing allowance.  Any arrangement for
7.6.2. 
subsistence must be agreed between the Member
and the employee before the journey. 
You will be asked for the names of your spouse, civil
partner and/or children. Please note that spouse travel
7.7.6.
applies only to married partners and partnerships
made under the Civil Partnership Act 2004.  Please let
We recommend that staff claim at the rates specified
us know of any relevant changes, for example any
by the Department of Finance and Administration3.
changes to your marital or partnership status. 
These figures also apply to House staff.  They are
updated periodically. 
7.6.3.  Definition of child
7.7.7.
For these purposes a child also includes a step child,
an adoptive child, a foster child and any other child
Staff may claim the actual cost of bed and breakfast,
living with you as one of your family.  Children over 18
provided that the arrangement and the cost ceiling
and still in full-time education remain eligible until the
was agreed in advance with the Member.  These
end of the academic year in which they reach the
costs must not exceed those of staying in a 3-star
age of 18.
hotel in the locality.  The employee must provide
receipts.
7.6.4.  How to claim
7.7.8.
Your spouse, civil partner and/or children may travel
by car, bicycle or motorbike, in which case you may
Members’ staff may not claim for laundry, entertainment,
claim mileage; or by air or sea or by any other means
or for meals which have been provided free. 
of public transport.  You can either buy the ticket
yourself and claim back the costs, pay for the tickets
7.7.9.
by means of your House of Commons corporate
Staff based outside the Parliamentary estate are also
travel card.
entitled to two free return journeys (standard class) to
undertake training if:
Employee Travel
O Its purpose is to improve skills needed for the
job, and
7.7.1.  Allowable journeys
O The training is provided via the Parliamentary
You are entitled to up to 12 return journeys each
Learning and Development Initiative.
year shared between all your employees.  These
This entitlement applies both to training in London and
journeys must be between Westminster and the
elsewhere.  
constituency.  This entitlement can only be used for
employees paid through the staffing allowance and
This travel is paid for on a reimbursement basis only.
for journeys necessary for your Parliamentary business.
Apply using form TE2.
7.7.2.  How to claim
You can either pay for the ticket yourself and claim
back the costs by informing the Department in writing
or pay for the ticket by means of your House of
1 and, by individual arrangement with the Department of
Commons corporate travel card.  You are encouraged
Finance and Administration, Members’ children over 18
to purchase your tickets via the Parliamentary Travel
who have a disability.
2
Office, so that the House can benefit from route deals.
For child travel only, if your child’s main home is not your
own you can nominate one other destination or starting
point instead of one of these three.  The cost of the new
7.7.3.
journey must not exceed that of the journey it replaced.
If your employees undertake other travel in the course
You must register the alternative destination with the
of their duties for you, you may submit claims for this.
Department of Finance and Administration in advance
We will normally pay such claims from your staffing
of any travel.
3
allowance or IEP.  Some journeys may be liable for tax
These rates are available on the Department of Finance
and/or national insurance.
and Administration staff intranet pages
28

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Short Money and Representative Money
Section 8
ENQUIRIES & ADVICE 020 7219 6122
FREQUENTLY ASKED QUESTIONS
What is Short Money?
Financial assistance paid to Opposition parties.
What is Representative Money?
Financial assistance paid to parties who have chosen
not to take their seats. 
How do I claim?
You do not have to claim, other than for travel.
8.1.1.  Short Money
8.6.1.  Independent audit 
Each political party is responsible for the allocation of
Each party claiming Short Money must provide a
individual entitlements.
certificate from an independent professional auditor,
no later than nine months after 31st March each year,
8.1.2.
to the effect that all expenses relating to Short Money
payments for the year were incurred exclusively in
The provision of financial assistance to Opposition
relation to the party’s Parliamentary business.
parties or ‘Short Money’, as it is commonly known,
Any sums remaining unspent at the end of the year
is governed by a resolution of the House.  It is only
(31st March) must be returned to the Department.
available to assist Opposition parties to carry out their
If an acceptable certificate has not been provided
Parliamentary business.  It is automatically paid in
within nine months after the end of the financial year,
arrears every month.
payments will be suspended until an acceptable
certificate has been received.  The audit certificate
8.2.1.  Conditions of eligibility
should be in a standard form, as set out below.
In order to qualify, Opposition parties must have:
Following the receipt of a valid audit certificate,
a
At least two Members of Parliament who were
any underspend of the monies already paid to an
elected at the previous general election as
individual party will be reclaimed by the Department
members of that party; 
of Finance and Administration.
or
b
One Member elected with at least 150,000 votes.
8.7.1.  In a general election year
The periods before and after an election will be
8.3.1.  Sums payable
treated as separate periods.  The sums payable will
be apportioned according to the number of days in
The total payable to each qualifying Opposition party
each period. 
is linked to a formula based on the number of seats
won and votes cast at the previous general election. 
8.7.2.
8.3.2.
Immediately after a general election, the Department
will contact each Opposition party and agree a
Amounts are increased annually in April in line with the
statement of the facts, as a basis for future claims.
Retail Prices Index.
8.8.1.  Representative Money
8.4.1.  Leader of the Opposition
Financial assistance is available to opposition parties
Financial assistance is also available for costs
represented by Members who have not chosen to
necessarily incurred for running the office of the
take their seats, and thus do not qualify to participate
Leader of the Opposition: this also increases every
in proceedings in Parliament, towards expenses
year in line with the RPI, and is payable in arrears at
wholly, exclusively and necessarily incurred for the
periods of not less than one month.
employment of staff and related support to Members
designated as that party’s spokesmen in relation to
8.5.1.  Travel claims
the party’s representative business.  The rules are
A separate budget is available for travel and
similar to those for Short Money.  Please contact the
associated expenses necessarily incurred by
DFA for guidance on claiming this money.
Opposition parties’ spokesmen.  Travel claims should
be sent to the Department monthly.
29

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Short Money
Section 8
ENQUIRIES & ADVICE 020 7219 1340
To
The Accounting Officer
Director of Operations
Finance & Administration Department
House of Commons
London SW1A 0AA
Certificate of an Independent Professional Auditor in Respect of Financial Assistance
Received by an Opposition Party
Certificate of the Auditor to the Accounting Officer of the House of Commons
In accordance with the requirements of the Resolution of the House of Commons of 26 May 1999 -
Section 5(1), I have audited the expenses for which the
party  has  received
financial assistance.
Respective responsibilities of the                                Party and the Auditor
The                                 party are responsible for ensuring that the expenses have been incurred
exclusively in relation to the party’s parliamentary business. It is my responsibility to form an
independent opinion, based on my audit, on the expenses received and to report my opinion to you.
Basis of Opinion
I conducted my audit in accordance with auditing standards issued by the Auditing Practices Board.
I planned and performed my audit so as to obtain all the information and explanations which I
considered necessary in order to provide me with sufficient evidence to give reasonable assurance
that the expenses for which the                                party have received financial assistance have
been applied to the purposes intended by Parliament.
Opinion
In my opinion, in all material respects, all expenses for which the                                party received
financial assistance amounting to £                   for the year ended                   were incurred
exclusively in relation to the party’s parliamentary business in accordance with the requirements of
Section 5 (1) of the Resolution of the House of Commons of 26 May 1999.
Signature
Name
Company
Position
Address
Registered
Professional Qualification
Date
30

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Resettlement Grant
Section 9
ENQUIRIES & ADVICE 020 7219 1340
FREQUENTLY ASKED QUESTIONS
What happens to my salary when I
Your salary as a Member or office holder will be paid
leave the House?
up to and including your leaving date.
How do I find out about the about the rules
The Department of Finance and Administration
on resettlement grant?
published “Pay and allowances for Members who
leave the House at a General Election” before the
2005 General Election. This is available on request.
What else do I receive?
You will be entitled to the following:
If you retire at a General Election, a resettlement grant
calculated as explained below, or (if appropriate)
If you leave on ill health grounds, an ill health
retirement grant (subject to medical reports), and
A winding up allowance (see section 10) to pay for
staff and office costs while you wind up your affairs.
Calculation of resettlement grant
Please note that if you stand down or lose your seat
9.1.2.  We calculate this grant on the basis of
at a General Election, your leaving date will be the
O Your salary at the highest rate payable to you
date of the Election.
immediately before the Dissolution; and
O Your age at the Dissolution; and
9.1.1.
O The number of years for which you have served
If you leave the House a General Election, you will
as a Member.
normally receive a resettlement grant of between
50% and 100% of salary, depending on your age and
length of service at the date of Dissolution.  This will
not be paid until you have discharged your liabilities to
the House and your responsibities to your employees.
The table below shows the percentages of salary which apply
Percentages of Yearly Salary
Number of completed years service
Under
15 or 
Age
10
10
11
12
13
14
over
Under 50
50
50
50
50
50
50
50
50
50
50 52
54
56
58
60
51
50
52
55
58
62
65
68
52
50
54
58
63
67
72
76
53
50
56
62
67
73
78
84
54
50
58
65
72
78
85
92
55 to 64
50
60
68
76
84
92
100
65
50
58
65
72
78
85
92
66
50
56
62
67
73
78
84
67
50
54
58
63
67
72
76
68
50
52
55
58
62
65
68
69
50
50
52
54
56
58
60
70 or over
50
50
50
50
50
50
50
31

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Resettlement Grant
Section 9
9.1.3.  How to claim
Please claim using the resettlement grant claim form
(GE4) when you have met any outstanding liabilities to
the House, your suppliers and your staff.  In particular,
you must take steps to dismiss your staff in
accordance with employment law.
9.1.4. 
We reserve the right to make deductions from
your resettlement grant if you do not meet your
responsibilities as outlined above, or you have any
outstanding liabilities to the House.
9.1.5.  Tax
If your resettlement grant is £30,000 or less it will be
tax free.  If more, only the first £30,000 will be tax-
exempt.  The grant will be shown on your P11D as
you are required to declare it on your tax return.
Ill health retirement grant
9.1.6.
If your health prevents your continued service as an
MP you may be entitled to claim this grant.  It will be
calculated in the same way as the resettlement grant.
9.1.7.  How to claim
Apply in writing to the Director of Operations in the
Department of Finance and Administration.
32

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Winding Up Allowance
Section 10
ENQUIRIES & ADVICE 020 7219 1340
FREQUENTLY ASKED QUESTIONS
After I have left the House it will take me some
No.  You cannot use your incidental expenses
weeks to close down my office.  Can I still use
provision, staffing or travel allowances for expenses
my usual allowances to pay for this?
incurred after your leaving date.  Instead you can use
the winding up allowance to reimburse you for certain
costs.  See below.
What about my employees?
Your staff will receive
G
Salary payments (and any bonuses due)
as usual from the staffing allowance, up to
and including your leaving date;
G
Salary payments (including notice pay)
after that date from the winding up allowance,
if you so wish.
G
Statutory redundancy payments from central
funds if they meet the conditions for these;
G
If you so wish, certain additional redundancy
payments or certain termination payments from
your winding up allowance.
G
If you so wish, bonuses, subject to the usual
rule that these must not exceed 15% of the
salary paid during that year.  You must use your
staffing allowance to pay any bonuses for the
period before your leaving date, and your
winding up allowance to pay for any bonuses
for work done after your leaving date.
Please note that there are strict limitations on
payments which you can make to staff when you
leave the House.  If in doubt please seek advice.
What must I do to ensure my staff
You must tell us which staff are to be paid from the
continue to get paid?
winding up allowance.  You must also give them
notice of redundancy and tell us their last day of
service.
Where can I obtain further advice?
The Department of Finance and Administration
published “Pay and allowances for Members who
leave the House at a General Election” before the
2005 General Election.  This is available on request.
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Winding Up Allowance
Section 10
ENQUIRIES & ADVICE 020 7219 1340
Scope of the allowance
O Postage, stationery and telephone costs
10.1.1.
[Ex-Members must not use prepaid envelopes
or official stationery bearing the portcullis].
The winding up allowance is a wide ranging allowance
which you can use to meet travel costs, office and
O The costs of redecorating your office and making
staff costs necessarily incurred on your parliamentary
good dilapidations if required by your rental
duties after the General Election.  For example, you
agreement;
are expected to use it to meet office rental and utility
O The costs of removing furniture etc from your
bills while you close down your office, and also for pay
office;
and notice for your staff after the General Election.
O Other costs such as the shredding of confidential
It covers expenses which before your departure you
waste or cleaning the hard disk of any IT
could have charged to your staffing allowance or
equipment which you have bought from the
incidental expenses provision, plus certain other
allowances.  NB: If you have IT equipment on
costs as set out below.  You must make the payment
loan from the Parliamentary Communications
yourself and then claim reimbursement.
Directorate, this will be retrieved and
professionally cleaned;
10.1.2.
O The costs of leaving any home funded through
The maximum amount of the winding up allowance is
the additional costs allowance.  This may include
calculated by summing the full staffing allowance and
removal costs, notice pay to your landlord, and
incidental expenses provision which you expected to
redecoration if required by your agreement with
receive in the year in question, and then dividing by
your landlord.
three.
Costs not allowable
Allowable costs
10.1.4.  The following are examples of costs
10.1.3.  The following costs are likely to be
which are not allowed:
allowable:
O Costs of any building or refurbishment work
O Salary and NI costs for any staff who continue to
in your home
work for you.  Although most offices are wound
O Any payments to your office landlord which are
up quickly, we can provide payroll services for a
not required by your rental agreement
maximum of four months from the date of the
O Purchases of furniture or equipment
General Election provided your staff are still
O Any costs which would formerly have been met
working for you.
from your additional costs allowance
O Other contractual liabilities for staff in respect of
O Costs relating to the period before the date of
the period after the date of the General Election
the General Election.  NB: You must consult the
eg overtime if worked, notice pay or pay in lieu
Department before buying furniture or equipment
of notice if allowed by staff contracts;
after you know you are leaving the House
O Employee pensions contributions in respect of
O Costs of or arising from party political activity
service during the winding up period.
O
O Any ongoing costs associated with your second
Redundancy or termination payments to staff,
home eg mortgage interest, utility or telephone
subject to certain rules set out in the guidance
costs, rent (unless this is notice pay)
for Members who leave the House;
O
O The costs of selling a second home eg legal
Contractual liabilities for offices and/or
costs, estate agents fees.
equipment, eg office rent and utility bills;
rental payments for the notice period
O Travel costs where necessary for completion of
For further guidance on what you can claim when you
Parliamentary business.  Specifically this includes
leave the House please see the booklet on pay and
allowances for Members who leave the House,
G
for yourself, journeys between any two of
available from the DFA on request.
the following three points: your main home,
London and the constituency; and also travel
within the constituency;
G
for your staff, travel within the constituency
and between London and the constituency.
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Dissolution Arrangements
Section 11
ENQUIRIES & ADVICE 020 7219 1340
FREQUENTLY ASKED QUESTIONS
What happens to my pay and allowances during
All entitlements except your salary, IEP and staffing
the Dissolution period?
allowance cease during this period.  Guidance is
issued when required and you can find this on the
Parliamentary Intranet under ‘D’ for Dissolution.
What should I do if I know I will be standing down
Please tell us.  If we are forewarned, we can provide
at the next election?
you with information and claim forms to ensure you
receive any entitlements (resettlement grant, winding-
up allowance, pension etc.) due as swiftly as possible.
We can offer an exit interview to help answer any
queries you may have.
If I lose my seat at the election will I still be
Yes, and we will contact you as soon as possible to
entitled to the same benefits as Members who
arrange an exit interview or to send you any forms
stood down at the general election?
you need to complete to ensure you are able to claim
your full benefits.
What about my employees during this period?
We will continue to pay them, if you instruct us to pay
your employees, but they will only be entitled to one
free return journey from the travel allowance.
What about redundancy packages for my staff?
A full explanation is provided in section 10.
Employees paid from the staffing allowance may
qualify for a statutory redundancy payment if you
leave the service of the House.
This is paid from central funds and not from your
staffing allowance.
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Computer Equipment, Help For Members  Section 12
With Disabilities & Security Measures
Computers and other IT equipment for
Security measures for Members' offices
Members and their offices.
Subject to a report from the local police, the central
This equipment is free of charge, on loan to Members
budget may contribute to the costs of certain
for Parliamentary use only.  It is provided by the
measures taken in the constituency to safeguard
Parliamentary Information and Communications
Members’ staff, their equipment and themselves.
Technology service (PICT).
Members must apply in advance.
Further details are available in a factsheet on the
Members can also use their IEP to buy additional
Parliamentary Intranet.  See under ‘A’ for Allowances.
items, providing they are used solely for Parliamentary
purposes.
Further details are on the Parliamentary Intranet
or via the PICT Service Desk on 020 7219 2001.
Help for Members with disabilities
Subject to a report from a consultant occupational
health doctor retained by the House, Members with
disabilities can benefit from special equipment, extra
staff or travel facilities etc to help them to carry out
their Parliamentary duties.
Further information is available in a factsheet on the
Parliamentary Intranet.  See under ‘A’ for Allowances.
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FINANCE &
ADMINISTRATION
HOUSE OF COMMONS
DEPARTMENT OF FINANCE AND ADMINISTRATION - JULY 2006
© PARIAMENTARY COPYRIGHT 2006
£4.50

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