Overview

What properties are eligible? What are the budget limits? What notice period should you negotiate on a lease?

Learn the rules around accommodation and understand how registering dependants affects what you can claim.

Scheme rules

The accommodation costs budget is designed to meet costs incurred by MPs as a result of working from two permanent locations.

The rules covering claims for hotels only apply to the use of hotels as an alternative to rental accommodation.

Where hotels are being claimed under travel and subsistence (for example, when MPs stay overnight when on parliamentary business outside London or their constituency), the rules outlined in Travel & subsistence apply. [4.1]

Accommodation costs are not payable to MPs who:

  • are London Area MPs

  • occupy “grace and favour” accommodation in London by virtue of any particular office held [4.2]

The annual rental accommodation budget will be pro-rated where the tenancy starts after the beginning of the financial year or ends before the end of the financial year.

Spending more than the budget limit

MPs may enter into a rental agreement that takes you over the budget limit, but they will have to fund the extra cost themselves.

If IPSA is paying the rent directly to the landlord, it will only pay up to the amount affordable within the budget. [4.15]

Rental agreements

Any costs of drawing up rental agreements and any agency fees incurred on entering into or extending a contract can be claimed from the accommodation costs budget.

No additional funding is available for such costs. [4.16]

Valuation

IPSA reserves the right to seek a valuation to confirm the market rental rate for an accommodation which is funded by IPSA, in any circumstances where it considers it appropriate. [4.18]

MPs may only claim for rent and/or associated costs relating to one property – either in the London Area or in the MP's constituency – unless IPSA agrees there are exceptional circumstances that justify claims in both. [4.6]

The MP must be resident at the property for which claims are being made, and may not sublet the property, or any part of it. [4.7]

IPSA will pay for rent and associated costs for a property only after it has been registered and accompanied by the required documentation, including the MP's rental agreement or proof of ownership of the property. [4.13]

MPs may rent accommodation from other MPs, provided the landlord MP is not a connected party.

Only the tenant MP may claim the associated costs for that property. [4.14]

For more information, visit Completing a Property Registration Form .

Accommodation costs may only be claimed for one of the following at a time :

  • hotel accommodation

  • rental payments and “associated costs” as set out in para 4.4, or

  • for MPs who own their property, associated costs only as set out in para 4.4 [4.3]

Associated costs include:

  • utility bills (gas, electricity, other fuel and water)

  • Council Tax

  • ground rent and service charges

  • buildings insurance (if you own the property)

  • installation of a landline telephone line, line rental and usage charges

  • installation of a broadband connection and usage charges

  • purchase, installation and maintenance of routine security measures (that is, not those which are now funded by the House of Commons as recommended or further security measures) [4.4]

The following are not considered associated costs and IPSA will not pay any claims for them:

  • cleaning

  • gardening

  • the purchase or maintenance of furniture

  • home contents insurance, TV services, or TV licences [4.5]

If two or more MPs share rental accommodation, they must notify IPSA when they register the property.

The rental agreement must include the name of each MP sharing the accommodation. [4.22]

Each MP will be entitled to the full accommodation costs budget – and all costs claimed should be shared equally between those MPs. [4.23]

MPs are responsible for checking the terms and conditions of their contracts, including any service charges, penalty clauses and other clauses which may otherwise lead to unexpected costs.

You should check your liability for council tax on the premises before signing the contract. [4.19]

MPs must inform IPSA immediately when a rental agreement commences, ends, or is renewed, or if there are changes to the contract, such as the rental charge or the landlord’s payment details. [4.20]

For information on how to register a property, visit Completing a Property Registration Form. Or get help with Selecting & leasing a constituency office.

MPs should negotiate a clause in their rental agreement to allow you to give two months’ notice in the event of a change in circumstances, such as leaving Parliament or any other circumstances which mean you have to vacate the property.

You will only be able to claim for rent and associated costs during the winding-up period after leaving Parliament.

Any further costs beyond that period will not be funded by IPSA. [4.21]

An MP who intends to claim for rental costs may apply to IPSA for a loan to cover any deposit payable at the commencement of a tenancy.

This loan will not be deducted from the accommodation costs budget. [4.24]

This loan cannot exceed the lower of:

  • the deposit which is stated in the rental agreement

  • one-quarter of the relevant annual accommodation costs budget (for example, London area or the constituency) [4.25]

Applications for loans must be submitted by the MP and accompanied by a rental agreement for IPSA to approve.

IPSA will pay the loan to the MP, who will forward the deposit to the landlord.

IPSA may consider a deposit loan application that is accompanied by a draft rental agreement – in these circumstances, a fully signed agreement must be submitted to IPSA within one month of the start of the tenancy.

If this condition is not met, IPSA may recover the deposit loan and any rent already paid under the draft agreement from the MP. [4.26]

You can apply by Completing a Property Registration Form.

MPs may not hold more than one loan for a deposit on rental accommodation at any one time, except where IPSA agrees otherwise. [4.27]

The MP is responsible for securing the return of the deposit and for repaying the amount in full to IPSA, no later than one month after the date on which the tenancy comes to an end, or, where the MP leaves Parliament, the end of the winding-up period (whichever is earlier).

Any shortfall between the deposit paid and the amount returned shall be the sole responsibility of the MP. [4.28]

Loans for holding deposits

MPs may also apply for a loan for a holding deposit before the start of the tenancy.

Holding deposit loans must be repaid to IPSA within 30 days of signing the tenancy agreement or refund of the holding deposit, whichever is earlier.

IPSA may also agree to recover the amount via alternative means. [4.29]

Download the IPSA Repayment Form.

Removal costs for moving to new accommodation may be claimed from the contingency "not applied for" budget.

You do not need to submit a contingency application to claim.

Other costs associated with moving, including any legal costs, must be claimed from the accommodation costs budget. [4.17]

Hotel costs claimed from the accommodation costs budget are subject to a nightly cost limit. These limits are inclusive of VAT.

If the hotel’s nightly rate includes breakfast, the full amount will be reimbursed, provided that the relevant limit is not exceeded. [4.10]

MPs can claim hotel costs up to £210 per night in London and £150 per night elsewhere in the UK (including VAT).

MPs may claim for the cost of hotel accommodation for their dependants. The nightly cost limit for such claims applies to hotel accommodation for all dependants (rather than for each dependant). [4.11]

MPs may group together a number of nights during a single stay, where the cost varies on different nights, and claim the full amount if the average per night does not exceed the nightly limit. [4.12]

If you are not able to find a hotel within the cost limit, you may be able to claim the additional cost through contingency funding [10.11].

You will need to evidence that you made a reasonable effort to find a hotel within the limit, beyond the Travel Office and your usual accommodation provider, by submitting screenshots.

For more information, visit Travel & subsistence.

As of 1 April 2023, funding for MPs’ security measures has transferred to the House of Commons. Security assistance funding is no longer available from IPSA.

“Routine” security and safety costs may continue to be claimed from the accommodation and office costs budget. [10.5]

For more information about security measures, visit the Members' Security Support Service.

Using IPSA Online

Guidance

The Scheme does not cover reimbursement of cleaning costs at an MP's accommodation. However, IPSA will pay for professional cleaning costs incurred as a requirement of the lease, if these circumstances apply:

  • the professional cleaning costs are incurred as a specific condition of the lease

  • the cleaning costs are incurred due to the MP leaving the property and terminating the lease

  • the MP incurred the cost on or after 1 April 2019

  • there is a sufficient amount in an MP’s accommodation budget to cover the cost

Supporting evidence showing the condition in the lease and an invoice for the cleaning must be submitted with the claim.

Contact IPSA

To get additional support, contact us.