Home workers are set to lose a key perk after Rachel Reeves axed tax relief in Budget

HOME workers are set to lose a key perk after the Chancellor axed tax relief.

Those toiling away at their kitchen tables will not be able to claim back the cost of extra heating, electricity or broadband from next April.

A Black man on a video conference call with colleagues from his home office.
Home workers are set to lose a key perk after the Chancellor axed tax reliefCredit: Getty

During Covid, millions pocketed a flat £6-a-week allowance — even if they spent only a day at home.

That loophole was already closed, and now relief for those with “no office to go to” is being axed.

Only employers will be able to reimburse WFH costs tax-free.

It comes as workers bore the brunt of Rachel Reeves’ £30billion tax raid — funding huge increases to the welfare bill.

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The Chancellor was accused of cooking up a left-wing “Budget for Benefits Street” while fleecing strivers for more of their earnings.

Almost one million more Brits will be hauled into the higher band of income tax after she broke her promise to end threshold freezes.

The U-turn will see a quarter of all workers paying the 40 per cent rate by 2030-31.

Ms Reeves also refused to rule out more tax increases when quizzed after the Budget.

Tory leader Kemi Badenoch said: “This is a Budget for Benefits Street, paid for by working people.

“This Budget increases benefits for 560,000 families by an average of £5,000. They are hiking taxes on workers, pensioners and savers to pay for handouts to keep their backbenchers quiet.”

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