Workers at home ‘miss out on £100 tax relief ’

Homeworkers could be missing out on more than £100 a year in tax relief, according to Citizens Advice Scotland (CAS).

The charity is urging workers who moved out of the office during the coronavirus pandemic to claim the relief on their energy bills ahead of the tax year ending on Monday.

Under the tax relief system, people can claim between £1.20 a week (£62 a year) and £2.40 a week (£124.80 a year) if they have been working from home.

More than one million people were homeworking at the height of the pandemic last April, according to figures from the Office for National Statistics.

CAS also warned that a new energy price cap rise comes into force from today, with increases of £96 for default tariff customers and £87 for prepayment meter customers.

Kate Morrison, CAS fair markets spokeswoman, said: “Over one million people in Scotland who have been working from home during the pandemic could be entitled to this tax relief, so we’re encouraging everyone to apply.

“Lots of us have been working from home during the pandemic and will have had the heating on for much longer stretches as a result.

“Any money saved on bills will be especially welcome having come through a cold winter which pushed up heating demands, on top of today’s energy price cap rise which will result in price hikes for many households.

“This relief isn’t perfect – we’d like to see it reviewed.

“If homeworking becomes more widespread after the pandemic then this relief could become more important to lots of people over time.”