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Hybrid working and the costs of commuting

The OTS is conducting a review on the emerging trends and tax implications of hybrid and distance working. Moniza Syeda (Tolley) asks whether it is time for the introduction of a commuting allowance in the UK, and she considers what can be learned from elsewhere in Europe.

In the post-Covid world hybrid working appears to be the new norm for office-based employees with both ways of working having an inherent economic cost for employees. There is the rising cost of heat and light at home while travelling into the office is not an inexpensive option. But the need for face-to-face collaboration means that managers face a difficult conundrum. There is a balancing act to perform between encouraging engagement with the office and retaining talent in the labour market that offers work flexibility. This article considers the introduction of a commuting allowance in the UK that might help resolve...

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