EIM50050 - Airline pilots: industry wide FRE for 2013/14 onwards: introduction

HMRC and the British Airline Pilots' Association (BALPA) have agreed an increase to the industry wide Flat Rate Expenses allowance (FRE) which applies to all uniformed commercial pilots and co-pilots (including helicopter pilots), and other uniformed flight deck crew, for 2013/14 onwards. The agreement updates the national agreement that was effective from 2006/07 onwards, which in turn replaced all locally agreed FREs for the employees concerned.

The main features of the agreement are:

• The FRE applies to all uniformed commercial pilots, co-pilots and other uniformed flight deck crew working in the UK
• It does not apply to cabin staff (stewards and stewardesses)
• The basic FRE is £1,022 and it applies from 2013/14 (increased from £850, which applied from 2006/07). For details of what is included, see EIM50052 and EIM50059 
• There is a further expenses deduction (EXP) of £110 (increased from £100 which applied from 2006/07) to cover the allowable cost of travel to certain regular, specified activities (see EIM50060).

For a full summary of what can be allowed under the terms of this agreement, see EIM50051.