RELOCATION SCHEME
INTRODUCTION
The purpose of the Scheme is to enable staff to live sufficiently close to their place of employment to be able
to undertake their full range of duties to the satisfaction of the Council.
Although it is desirable that staff, particularly those appointed to senior posts, live within the Borough, it is
recognised that property prices and other encumbrances make this difficult on occasions and therefore it is
normally expected that a property will be purchased within twenty miles of Guildford town centre.
The Scheme is available to new appointees within roles where we have either experienced difficulties in
recruiting to posts, or to senior management roles and is at the discretion of the Corporate Management
Team. The Scheme will only be offered when the distance to work from their existing home makes it
impossible to properly satisfy the full demands of their role. It is not therefore normally expected that a move
will be supported from within twenty miles of Guildford town centre.
All cases will be considered on an individual basis and the benefits of the scheme are available only by
prior agreement with the relevant Director. No offer of relocation assistance should be made until
approval has been given. Two types of assistance are available - Mortgage Subsidy and Relocation
Assistance.
An outline of each scheme is given below as an initial guide. Candidates will be able to discuss their particular
circumstances in more detail at interview.
The Council consider the retention of staff equally important. For this reason assistance will be granted on
the condition that some repayment will be required should the appointee terminate his or her employment
within a specific period of service. The basis of repayment will differ under each scheme as set out below.
In general an advantage is to be gained by a commitment to Guildford for a period of three to five years.
MORTGAGE SUBSIDY
In purchasing a property in the Guildford area it is likely than an appointee will incur an increased mortgage
commitment. The Council offers a monthly allowance to ease this potential problem. The allowances relate
to the differing prices of property in each of 13 regions of the country when compared with property prices
in the Guildford area. They are calculated on the basis of information published by the Nationwide Anglia
Building Society.
The current standard allowances and regions are identified on the attached map. An appointee benefiting
under the scheme will receive a proportion of the standard allowance related to the region where he or she
is now living as follows:during each of the first 12 months of occupation of a Guildford property - 75%
during each of the second 12 months of occupation of a Guildford property - 50%
during each of the third 12 months of occupation of a Guildford property - 25%
In normal circumstances it is expected that occupation of a chosen property will take place within 26 weeks
of taking up an appointment.
If the appointee terminates his/her employment within three years of commencement then the total of the
allowances received would be repayable to the Council. If the appointee leaves thereafter but before the
expiration of the fifth year from the first appointment the total repayable will be reduced by 1/24 for each
month of service after the initial three years.
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At the end of the third year of occupation an appointee may, at the Council’s discretion, receive assistance
for a further 2 year period. A proportion of the standard allowance will be paid as follows:
during each of the fourth 12 months of employment - 25%
during each of the fifth 12 months of employment - 25%
If, after exercising this option, the appointee terminates his/her employment before completing five years
service the total of the allowances received would be repayable to the Council. If the appointee leaves
thereafter but before the expiration of the seventh year from first appointment the total repayable would be
reduced by 1/24 for each month of service after the initial five years.
The allowance will be payable from the first day of the month following occupation of the purchased property.
The Council is advised that allowances paid under this scheme are taxable and must be included in salary
for superannuation purposes.
RELOCATION ASSISTANCE
A. EXPENSES
Appointees may, by prior agreement, claim re-imbursement of expenditure necessarily and actually incurred
for the following:
(a) Choosing and moving to a house in Guildford
1. Removal of furniture and effects from old home to new, including insurance of goods in transit. The reimbursement will equal 100% of the lowest of three quotations. (An appointee may use the contractor
of his or her choice by meeting any additional cost.)
2. Storage of furniture and effects for up to 6 months where a permanent move cannot be made immediately.
The re-imbursement will equal 100% of the lowest of three quotations. (An appointee may use the
contractor of his or her choice by meeting the additional cost.)
3.
A second removal made necessary because the Council offer temporary accommodation EITHER
pending provision of permanent accommodation OR pending the appointee purchasing a property.
4.
Visits to the Guildford area for house viewing. Up to two second-class return rail fares will be reimbursed.
5. Travelling costs of the appointee and dependent from old home to new by either second class rail or
car. In the latter case ‘public transport’ car mileage rate will be paid.
(b) Transaction Costs
Legal and professional fees (such as Estate Agents’ Fees) incurred upon the sale and/or purchase of a
property up to a maximum of £6,956.63. The Council may, at its discretion, amend this amount in the case
of a Management Team or Senior Management Grade appointment.
(c) Settling in Expenses
Incidental costs connected with moving home may be reimbursed to a maximum of £609.56 on production
of acceptable evidence of payment.
(d) Conditions of Assistance
1. The expenditure must be necessarily and actually incurred and agreed in advance.
2. Receipts or similar evidence of payment must be produced.
3.
Assistance will be given by way of an interest free loan repayable
- in full if the appointee leaves within one year
- less 1/24 for each month the officer stays above twelve months.
4.
The Council’s right of repayment of the loan during the first three years of service will be secured by
written agreement with the appointee concerned.
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B. ALLOWANCES
(a) Lodging and Weekend Travelling Allowance
Where it is necessary for an appointee to obtain temporary accommodation on first moving to the area the
following allowances will be paid as a gesture of assistance.
1.
An allowance up to £119.03p per week for 26 weeks.
2.
This is not subject to tax and national insurance but counts towards you relocation package which will
attract tax once it exceeds £8,000.
(b) Excess Travelling Allowance
It may be considered feasible, for a limited period, to travel to Guildford on a daily basis prior to relocation.
In these circumstances the Council will pay an excess travelling allowance as an alternative to the lodging
allowance described above.
The allowance will cover the difference between the cost of travelling from a present home to Guildford
and the cost of travelling from this home to the previous place of work. An allowance of up to £119.03 per
week for up to 26 weeks will be paid, based on either second class rail and/or bus fares or appropriate car
mileage rate.
1.
Travel allowance is subject to tax and national insurance in the same way as your salary.
C. CONDITIONS OF ASSISTANCE
1.
The expenditure must be necessarily and actually incurred and agreed in advance.
2.
Receipts or similar evidence of payment must be produced.
3.
Assistance will be given by way of an interest free loan repayable
- in full if the appointee leaves within one year
- less 1/24 for each month the officer stays above twelve months.
4.
The Council’s right of repayment of the loan during the first three years of service will be secured by
written agreement with the appointee concerned.
D. TAX
Any relocation support over £8,000 will be subject to tax.
The particulars given above are for information only. Their interpretation or application is a matter for the
discretion of the Council which may also vary or amend the scheme as necessary.
October 15
15 2013
3
£715
£765
£777
£695
£695
£691
£638
£613
£489
£305
£411
MORTGAGE SUBSIDY SCHEME - STANDARD MONTHLY ALLOWANCES
October 2015