EMPLOYMENT

POLICIES AND PROCEDURES

RELOCATION AND REMOVAL

EXPENSES POLICY AND
PROCEDURE

DOCTORS AND DENTISTS IN

TRAINING

1 st June 2015
(review 1st June 2017)
Contents

1. Policy Statement

1.1 Introduction
1.2 Eligibility and Scope of Policy
1.3 Aims
1.4 Application Period

2. Level of Assistance Available

2.1 Type of Expenditure Covered for Reimbursement

2.2 Examples of expenditure we are unable to
provide/reimburse
2.3 Taxable Expenditure

3. Repayment of Claimed Expenses

4. Making a Claim

Appendix 1 Relocation Application Form

Appendix 2 Removal Expense Claim Form
Appendix 3 Type of Expenditure Covered for Reimbursement
1. Policy Statement

1.1 Introduction

NHS Lothian is committed to fair and equitable conditions of employment.

The purpose of this policy is to ensure that wherever possible new employees
who are required to move home as a result of their appointment are not
significantly financially disadvantaged. NHS Lothian recognises that doctors
and dentists in training may require to change their place of residence as a
result of taking up a post with NHS Lothian.

This policy has been revised in light of NHS Circular PCS(DD)2010/8

(http://www.msg.scot.nhs.uk/wp-content/uploads/PCSDD201008.pdf)
Relocation and Excess Travel Expenses: Doctors in the Training Grades, and
will be subject to change based on future policy.

All removal expense applications for doctors in training will be authorised by

the Medical and Dental Recruitment Team and receipts/invoices checked and
processed by the Finance Department.

1.2 Eligibility and Scope of Policy

This policy applies only to doctors and dentists in training posts and does not
include staff not appointed to a recognised NES training programme. Ineligible
posts include:

 Fellows
 Locum Appointment for Service
 Staff returning from out of programme

All other grades of staff should refer to the NHS Lothian Removal Expenses
Policy and Procedure to determine potential eligibility and seek further advice,
if necessary, from a Medical and Dental Team Lead/HR Manager.

Foundation Year 1 and 2 doctors are not entitled to removal expenses but
may be able to claim excess travel expenses where appropriate. Further
information regarding travel expenses can be found in NHS Circular
PCS(DD)2010/8
(http://www.msg.scot.nhs.uk/wp-content/uploads/PCSDD201008.pdf).

For placements undertaken in GP practice the provisions contained in

PCS(GPR)2009/1 (http://www.msg.scot.nhs.uk/wp-
content/uploads/PCS2009GPR01.pdf) continue to apply. In these
circumstances, NHS Education for Scotland (NES) will reimburse relocation
and excess travel expenses and claims should be made directly to NES.
When undertaking first placements in NHS Lothian the provisions of this
policy will apply where appropriate.

1
This policy and procedure applies to all doctors and dentists in a NES
recognised training post employed in South East Scotland for a period of not
less than 2 years in the grades of

 Specialty Trainee
 Core Trainee
 Locum Appointment for Training

For doctors and dentists appointed to posts for a minimum of 6 months to 2

years, expenses allowable will be on a pro rata basis.

In line with NHS Circular PCS(DD)2010/8 relocation expenses entitlement is

one full relocation package per Deanery area, and only one application can be
made in the region. If a claim has already been placed in the South East
region, for example, NHS Fife or NHS Borders, it is not possible to make a
further claim with another Board in South East Scotland.

In circumstances where a doctor or dentist in a training grade is required to

move from one Deanery area to another Deanery area they will be entitled to
relocation.

It is recognised that NHS Scotland national training programs may require

doctors in training to relocate or travel to a different region to work. In line
with PCS(DD)2010/8 (http://www.msg.scot.nhs.uk/wp-
content/uploads/PCSDD201008.pdf) support can therefore be given with a
locally agreed package.

Expenses will be reimbursed only where there is evidence that the house
move was necessary to enable the employee to take up appointment and that
the relocation arrangements are reasonable.

The new home must be the main residence and it must be within reasonable
travelling time (30 minutes) to allow the employee to reach their hospital in
time to enable the employee to meet their clinical commitments, unless
otherwise approved by the NHS Lothian Medical Director.

Only one relocation claim may be made against the same property by a
spouse or partner. Doctors or dentists in this circumstance may not make two
separate claims.

The expenses in respect of which payment is claimed must have been

incurred by, or on behalf of, the applicant or other household member and
evidenced by original receipts/invoices (not photocopies). If original receipts
cannot be provided a claim may not be reimbursed. Receipts must be
provided on letter headed paper. Expenses claimed must not be recoverable,
in full or in part, from another source e.g. refundable deposits, or through a
partner’s employer.

2
1.3 Aims

The aims of this policy are to:

 Ensure that all NHS Lothian doctors and dentists in a NES recognised
training course are treated equitably and fairly.
 Assist in the reimbursement of relocation expenses of doctors and
dentists in training to NHS Lothian.
 Identify and facilitate cross system relocation processes which
compliment national developments in training grade recruitment.

1.4 Application Period

Eligibility to apply for removal expenses will lapse 6 months after the date of
appointment. Employees wishing to apply for removal expenses should
therefore make the initial application within the first 6 months of appointment
in their post. It is accepted that the completion of payments may take longer.

2. Level of Assistance Available

NHS Lothian will pay up to 10% of the employee’s basic salary as a grant
towards removal expenses. There is also scope for this percentage to be
increased up to a maximum of 15% in exceptional circumstances. Any
reimbursement above 10% will require to be agreed, in partnership, by the
Associate Director of HR and the Employee Director, and also reported to the
Remuneration Committee. In deciding whether a percentage reimbursement
in excess of 10% is appropriate, factors such as personal circumstances, cost
of living comparisons, seniority, the recruitment market and the nature of the
role will be taken into consideration.

2.1 Type of Expenditure Covered for Reimbursement

The payment of expenses is intended to cover expenditure such as:

 Disposal or intended disposal of old residence

 Acquisition or intended acquisition of new residence
 Transporting belongings
 Travelling and subsistence

Please note: some types of expenditure may be subject to tax based on

personal circumstances in line with HMRC legislation.

A detailed list can be found in Appendix 3.

Reimbursement is limited to actual expenditure and may or may not be

taxable. Payment is made through the employee’s salary once receipts have
been submitted and approved. This can be on an ad hoc basis as
expenditure is incurred. In line with HMRC legislation qualifying costs are
exempt from UK tax, all other costs will be taxed. HMRC set a limit, of £8,000

3
as the maximum tax free grant. However, the employee will be taxed on any
items claimed classified as taxable by HMRC or paid after their time limit
(before the last day of the year of assessment following the one in which the
employee starts the new job). The policy will be amended in line with
changes to HMRC legislation.

It is up to the individual applicant to decide what expenditure associated with

relocation they wish to be reimbursed for excluding the items listed in 2.2.

2.2 Type of Expenditure Not Covered for Reimbursement

The following will not be reimbursed under this policy:

 Interview expenses (the application should claim for this using the
interview expense claim form)
 Excess travel expenses (the applicant should claim for this using travel
expenses form)
 Capital loss on the sale of a property.
 Council Tax
 Bridging loan interest.
 Rental deposit.
 Purchase of furniture
 Taxi journeys
 Expenses associated with special arrangements required for transport
of special items such as boats, sheds, collector’s cars, animals, plants,
antiques, or items associated with personal business or collections.

This list is not exhaustive and it is not the aim of the policy to enable
employees to profit from reimbursement. If the employee does not know
whether the items they want to claim will be reimbursed and if they will be
subject to tax they should check with Financial Accounts by e-mailing
financial.accounts@nhslothian.scot.nhs.uk. For all other queries relating to
eligibility to claim relocation costs the employee should contact Medical and
Dental Recruitment medical.personnel@nhslothian.scot.nhs.uk

2.3 Taxable Expenditure

In line with HMRC guidelines NHS Lothian is required to tax some

expenditure. This is non negotiable as NHS Lothian is required to adhere to
HMRC rules and legislation. Taxable expenditure includes the following:

 Expenses incurred when an employee does not change their main

residence.
 Expenses paid after the last day of the year of assessment following
the one in which the employee starts the new job. Employees
anticipating a delay in finalising removals should bear this in mind and
should submit claims a minimum of 2 months prior to the tax year to
allow for paperwork to be processed and any queries to be responded
to.

4
3. Repayment of Claimed Expenses

If an employee who has claimed relocation expenses leaves the training

programme of their own volition and does not move to another Health Board
in Scotland, or through termination of employment by reason of personal or
professional misconduct unless in exceptional circumstances agreed by the
Board in the rotation, the employee will be required to repay a proportion of
the relocation entitlement. The amount repaid will depend upon the duration
of contract. and repayment will be 1/24 th of expenses paid for every full month
short of the two year limit. Expenses paid exclude any claim authorised for
payment and sent to payroll but before the deadline for cancellation.

Relocation claims will not be reimbursed until the undertaking to repay has
been signed.

4. Making a claim

Employees seeking to claim relocation expenses should

 Complete the attached Relocation Application Form in Appendix 1.

 Answer all questions to ensure there is no delay in processing their
claim.
 Send the completed relocation agreement to Medical and Dental
Recruitment, First Floor, Pentland House, 47 Robb’s Loan, Edinburgh,
EH14 1TY.
 The employee will receive a response within 5 working days of receipt
to confirm if they are eligible to claim expenses or to request any
missing information.
 Once the employees eligibility to claim has been confirmed they will be
required to complete Appendix 2 Removal Expense Claim Form- attach
original receipts evidencing expenditure and send them to Financial
Accounts, First Floor, Pentland House, 47 Robb’s Loan, Edinburgh,
EH14 1TY who will confirm receipt within five working days.
 The employee must complete a Removal Expense Claim Form
(Appendix 2) each time they submit receipts for reimbursement.
 If the employee has claimed expenditure and NHS Lothian is unable to
reimburse them, they will be advised by the Finance department.

Note: The employee should not provide any receipts or a removal

expenses claim form (Appendix 2) until they have received confirmation
from the Medical and Dental Recruitment team that they are eligible to
claim.

5
 Appendix 1

Relocation Application Form - Trainees

Applicant Information
Title: Full Name:

Phone: Email:

Correspondence address:

Appointment
NHS Appointment
New Appointment Grade:

Department: Hospital Base:

Contract Start Date: Contract End Date (if not permanent):

Previous Appointment Grade:

Duration of Post: Name of NHS Board:

National Training Information

National Training Information
Please confirm the duration of your Training Programme:
Do you have a National Training Number? Yes No
If Yes, please confirm this number:

Address
Address
Address Moving From: Address Moving To:

City: City:
Postcode: Postcode:
Are you moving to your new address on a permanent basis? Yes No

Please confirm the travelling time from the address you are moving to
and your Hospital Base: minutes

Accommodation
Accommodation
Do you own a property in the UK? Yes No

If Yes, are you formally or informally renting out this accommodation? Yes No

Have you purchased permanent accommodation in the area you have relocated to? Yes No

Are you seeking to purchase permanent accommodation in the area relocated to? Yes No

Are you renting accommodation in the area relocated to? Yes No

If you are claiming rented accommodation, please provide evidence that the rented accommodation is
a temporary residence while searching for a permanent home to purchase to enable you to work at
NHS Lothian. If this evidence has been accepted by NHS Lothian, the rent will be treated as a
Relocation Cost and qualify for tax exemption.
Relocation Application Form - Trainees Page 1 of 2
If your accommodation is temporary, please indicate why:

Other Claims
Have you placed a relocation claim with NHS Lothian or any other Health Board? Yes No
If Yes, please confirm - Date claim made: Amount Awarded: £
Health Board claimed from:

Does your partner work for NHS Lothian? Yes No

Does your partner work for another Health Board? Yes No
If Yes, which Health Board?
Has your partner made or is your partner making a relocation claim with NHS Lothian or Yes No
another Health Board?

Applicant Signature
Applicant Signature
I declare that, to the best of my knowledge, all the information I have given in connection with this application
is full and correct in every respect.
In consideration of receiving payment of up to 10% (up to 15%, in exceptional circumstances) of my basic
salary towards removal expenses I undertake that if I leave the training programme of my own volition and do
not move to another Health Board in Scotland, or through termination of employment by reason of personal or
professional misconduct unless in exceptional circumstances agreed by the Board in the rotation, I will be
required to repay a proportion of the relocation entitlement. The amount repaid will depend upon the duration
of contract. I authorise NHS Lothian to deduct from my final pay any sum outstanding on leaving employment
with NHS Lothian. In the event that the amount due from me on leaving the employment of NHS Lothian
exceeds the net sum of my final salary I will repay the agreed difference to NHS Lothian on demand and I will
keep NHS Lothian informed of any change address until repayment is complete.

In the event that the excess sum is not deducted from my salary, I will inform NHS Lothian.

Print Name: Date:

Signature:

To be completed by Medical Personnel:

Payroll Basic Total Relocation

Number: Salary: £ Entitlement: £

If applicable – Reimbursement above 10% has been approved: Yes No

If applicable – Excess travel time has been approved: Yes No

If applicable – Evidence of temporary residence while searching for a permanent
home to purchase has been accepted: Yes No

I have reviewed the above claim and confirm that the recruitment information is consistent with HR records.
Recruitment Administrator:

Signature: Date:

I have reviewed the above claim and authorise claims up to the above entitlement in line with this policy.
HR Manager:

Signature: Date:

Relocation Application Form - Trainees Page 2 of 2

Relocation Application Form - Trainees Page 3 of 2
 Appendix 2

Removal Expense Claim Form

Please complete this form in full and submit each time you place a claim.

NAME:
GRADE:
HOSPITAL BASE:
E-MAIL ADDRESS: @nhslothian.scot.nhs.uk
TELEPHONE NUMBER:
EMPLOYEE PAYROLL NUMBER:

Amount Finance use:

Date of Receipt
Nature of Claim: Attached? Claimed Adjustments
Expenditure:
£ £

Total:

Finance use – Amount authorised for payment:

I confirm that the above claim is made solely in connection with my removal expenses and that
I will not profit materially from reimbursement.

Signature: Date:

Print Name:

This form should be returned with original receipts to: Financial Accounts (Relocation
Expenses), NHS Lothian, 1st Floor, Pentland House, 47 Robb’s Loan, Edinburgh, EH14 1TY.
All claims must be supported by original invoices and receipts (not photocopies) or your claim may
not be reimbursed.

Please Note: Claims can be made as and when expenditure is committed. Please submit this form
each time you make a claim (See Section 2.3 regarding taxable expenditure and requirement for
you to be taxed if your claim continues into the following financial year).
 Appendix 3

TYPE OF EXPENDITURE COVERED FOR REIMBURSEMENT

Some of those listed below may be subject to tax based on personal circumstances
in line with HMRC legislation

Disposal or intended disposal of old residence

 legal expenses and services connected with the disposal
 legal expenses and services connected with the redemption of a loan
relating to the property.
 penalties for redeeming a loan relating to the property
 estate agent's or auctioneer's fees or services
 advertising
 disconnection of electricity, gas, water or telephone
 if the property is left empty awaiting disposal:
 any rent paid for the period when the property is empty
 insurance for the period
 maintenance of the property during the period
 preserving the security of the property during the period

Acquisition or intended acquisition of new residence

 legal expenses and services connected with the acquisition
 legal expenses and services connected with any loan raised to acquire
the interest in the property
 procurement or arrangement fees connected with such a loan
 mortgage indemnity premiums
 survey or inspection of the property. This covers both structural
surveys and building society valuations.
 fees payable to the Keeper of the Registers of Scotland
 stamp duty
 connection of electricity, gas, water and telephone services

Transporting belongings
 packing and unpacking
 temporary storage, where there is not a direct move from the old to the
new residence (but temporary storage is not an eligible cost if the employee has
no intention of moving the belongings to the new residence)
 taking down domestic fittings in the old residence if they are to be
taken to the new residence and reattaching them on arrival there

Travelling and subsistence

 preliminary visits to the new location
 travelling from the old home to the new work location
 travelling between the new home and the old work location (where the
house move takes place before the job transfer)
 temporary living accommodation
 travelling between the old home and the temporary living
accommodation
 travelling from the new home to the temporary living accommodation
(where the house move takes place before the job transfer)
 travelling from the old home to the new home when the move takes
place.