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Home / Tax Guides / PAYE / Construction Worker Tax Relief
PAYE Profession Tax Guide

Construction Worker Tax Relief

A practical tax guide for PAYE construction workers who travel to building sites, use their own vehicle, maintain work tools or pay qualifying employment expenses themselves.

Updated 18 August 2026 2026/27 Tax Year PAYE Construction Employees
Construction travel snapshot
24
Month temporary-workplace rule

A site that would otherwise be temporary can become a permanent workplace where the continuous-work conditions are met.

40% Significant attendance test
55p First 10,000 own-car miles
This page covers PAYE construction employees. Self-employed CIS subcontractors follow different travel and expense rules.
This guide PAYE construction worker

Employee expense, mileage and temporary-workplace rules apply.

Different rules Self-employed CIS subcontractor

Follow the self-employed and CIS rules in our dedicated CIS Tax Hub.

What can I claim? Site travel 24-month rule Mileage Tools Protective clothing PPE Professional fees Example How to claim FAQs
Construction workers can have unusually complex PAYE travel rules

Moving between construction sites does not automatically make every journey tax deductible. The status of each workplace, expected duration of attendance and your employer's reimbursement arrangements all matter.

PAYE or CIS?

Being in construction does not automatically mean CIS. Employment status is determined from the actual engagement.

What tax relief can PAYE construction workers claim?

Depending on the job and working arrangement, an employed construction worker may be able to claim tax relief for certain expenses personally incurred in performing their duties.

Can qualify

Temporary-site travel

Necessary travel to a workplace that genuinely satisfies HMRC's temporary-workplace rules can potentially qualify.

Can qualify

Business mileage

Using your own vehicle for qualifying employment business journeys can potentially support Mileage Allowance Relief.

Can qualify

Small tool repairs and replacements

Employee-paid qualifying costs of maintaining or replacing small tools required for the job can potentially qualify.

Depends

Protective clothing

Genuine protective clothing can potentially qualify where the employee must bear the cost, subject to the PPE distinction.

Usually no

Required PPE

PPE that the employer is legally responsible for providing or reimbursing cannot normally be claimed as employee tax relief.

Usually no

Permanent-site commuting

Travel between home and a permanent workplace is normally ordinary commuting and does not qualify.

Can construction workers claim travel to building sites?

Potentially, where the site qualifies as a temporary workplace.

HMRC defines a temporary workplace broadly as a place attended for the purpose of performing a task of limited duration or for another temporary purpose, subject to additional rules.

Site travel test Three questions to ask
1 Why are you there?

Is the site attendance for a genuinely limited-duration task or another temporary employment purpose?

2 How long is expected?

Consider the expected duration from the information available at that point, not merely how long you have already attended.

3 How much time is spent there?

Attendance for 40% or more of working time can be significant for applying HMRC's 24-month rule.

A site being described as “temporary” by the employer or construction company does not by itself decide its tax status.

How does the 24-month rule work for construction workers?

A site that would otherwise be a temporary workplace is treated as a permanent workplace where the employee attends it during a period of continuous work that lasts, or is expected to last, more than 24 months.

HMRC treats work at a location as significant for this purpose where the employee spends 40% or more of their working time there.

Important

You do not simply wait until month 25

The rule is based on what is reasonably expected. If it becomes known earlier that the continuous period at the site will exceed 24 months, the travel treatment can change from the date that expectation changes.

For a deeper explanation, see our Temporary Workplace Rules Guide .

Does every new construction site restart the 24 months?

Not necessarily.

HMRC has additional rules for a succession of workplaces where the change in site has no substantial effect on the employee's journey. Merely moving to another nearby project does not guarantee a fresh temporary-workplace period.

Site name is not the whole test

Where successive sites effectively produce substantially the same journey to work, HMRC can treat them as the same workplace for temporary-workplace purposes.

What mileage can construction employees claim?

Where a PAYE construction worker uses their own vehicle for qualifying employment business travel, HMRC's approved mileage rates can be relevant.

55p
Car or van

First 10,000 qualifying business miles in 2026/27.

25p
Car or van

Each qualifying business mile above 10,000.

24p
Motorcycle

Approved qualifying business-mile rate.

20p
Bicycle

Approved qualifying business-mile rate.

Where your employer pays less than HMRC's approved amount for qualifying mileage in your own vehicle, Mileage Allowance Relief can potentially be available on the difference.

Mileage rate does not make a commute allowable

The 55p rate only applies after the journey itself qualifies as employment business mileage. Ordinary commuting cannot be turned into business mileage simply by applying the HMRC rate.

See our full PAYE Mileage Tax Relief Guide .

Can construction workers claim tax relief for tools?

HMRC allows employee tax relief in certain circumstances for repairing or replacing small tools required for the job.

Its public guidance specifically includes an electric drill as an example of a small tool.

A claim is most relevant where:

  • The tool is genuinely required for your employment duties.
  • You personally bear the qualifying cost.
  • Your employer does not fully reimburse you.
  • The expense falls within HMRC's employee tool rules.
Construction trades

An occupational flat-rate expense may apply

HMRC has nationally agreed flat-rate expenses for many trades where employees commonly maintain or replace their own small tools and specialist work clothing. The applicable amount depends on the exact occupation.

See our Tools Tax Relief Guide .

Can PAYE construction workers claim protective clothing?

HMRC allows a deduction for genuinely protective clothing where it is worn because of the physical necessities of the job and the employee genuinely has to bear the cost.

HMRC gives examples including:

  • Overalls.
  • Protective gloves.
  • Protective boots.
Ordinary clothing is different

Jeans, ordinary shirts, coats and standard footwear do not become deductible merely because they are worn only on a construction site or become dirty or damaged at work.

What about PPE?

PPE requires separate treatment.

HMRC says employers are legally obliged, where relevant following a workplace risk assessment, to provide the PPE employees need or reimburse the employee for buying it.

PPE rule

Required PPE is normally the employer's cost

If the employer should legally provide or reimburse required PPE, HMRC says the employee cannot instead claim tax relief for that PPE.

Read our PPE Tax Relief Guide .

Can construction workers claim professional fees?

Potentially, where a PAYE construction worker personally pays qualifying professional fees or subscriptions relevant to the employment.

Annual subscriptions normally need to be paid to a professional organisation approved by HMRC, and membership must be relevant to the employee's job.

See our Professional Fees Tax Relief Guide .

Can construction workers claim parking and tolls?

Parking, tolls and congestion charges can potentially qualify where they arise as part of an otherwise qualifying business journey.

They are separate from HMRC's mileage amount because they are journey-specific costs rather than general vehicle running costs.

See our Parking & Travel Expenses Guide .

Construction worker mileage relief example

Illustrative PAYE employee

Temporary-site mileage

Assume an employed construction worker:

  • Uses their own car.
  • Makes 4,000 genuinely qualifying business miles during 2026/27.
  • All mileage falls within the first 10,000-mile band.
  • The employer pays 25p per qualifying mile.
HMRC approved amount: 4,000 × 55p £2,200
Employer mileage: 4,000 × 25p £1,000
Illustrative Mileage Allowance Relief basis £1,200

At an illustrative 20% Income Tax rate, £1,200 of qualifying Mileage Allowance Relief could represent £240 of Income Tax relief.

The example only works if the journeys genuinely qualify. A commute to a permanent workplace would not become deductible merely because the worker drives to a construction site.

PAYE construction worker vs CIS subcontractor

PAYE and CIS should not be mixed together when assessing expenses.

HMRC says CIS only applies to construction contracts that are not contracts of employment. A person's CIS registration is irrelevant to deciding whether a particular engagement is actually employment.

Tax status comparison Which rules should you follow?
P PAYE employee

Employment travel, temporary workplace, employee tool and employment expense rules apply.

C CIS subcontractor

Genuine self-employed subcontractors follow business expense rules and specialist self-employed construction travel rules.

! Status matters

Do not choose whichever set of rules gives the larger claim. The actual engagement determines the applicable tax regime.

If you are genuinely self-employed under CIS, use our CIS Tax Hub .

How does a PAYE construction worker claim tax relief?

1

Confirm PAYE status

Make sure you are claiming under employee rules rather than self-employed CIS rules.

2

Review each expense

Separate site travel, mileage, tools, clothing and professional fees.

3

Remove reimbursements

Identify what your employer already provided, paid or reimbursed.

4

Claim correctly

Use HMRC's employee expense route or your Self Assessment return where applicable.

What records should construction employees keep?

Useful records can include:

  • Site names and addresses.
  • Dates you started and stopped attending each site.
  • Expected project duration.
  • Mileage logs.
  • Employer mileage payments.
  • Parking and toll receipts.
  • Tool repair and replacement receipts.
  • Evidence of qualifying professional subscriptions.
  • Employer policies concerning clothing, tools and PPE.
Temporary workplace evidence

Keep evidence of what was expected, not only what happened

The 24-month rule can depend on the expected duration of attendance at the time. Contract documents, site assignments and subsequent extensions can therefore be relevant.

✓

Reviewed & Updated

Updated
18 August 2026
Tax year
2026/27
Guide type
PAYE profession guide
Primary sources
HMRC / GOV.UK
Construction Worker FAQs

Common Construction Worker Tax Relief Questions

Can PAYE construction workers claim travel to site?

Potentially, where the site genuinely qualifies as a temporary workplace. Travel to a permanent workplace is normally ordinary commuting.

What is the 24-month rule?

A workplace that would otherwise be temporary generally becomes permanent where the employee spends at least 40% of their working time there during a continuous period expected to exceed 24 months.

Do I need to reach month 25 before travel stops qualifying?

No. The expectation matters. If it becomes known earlier that the continuous period will exceed 24 months, the treatment can change from that point.

Can construction workers claim mileage?

Qualifying employment business journeys made in your own vehicle can potentially support Mileage Allowance Relief. For 2026/27 the car and van rate is 55p for the first 10,000 business miles and 25p thereafter.

Can construction workers claim tools?

HMRC allows tax relief in certain cases for employee-funded repair or replacement of small tools required for the job. Occupational flat-rate expenses can also apply to some trades.

Travel to construction sites or pay work expenses yourself?

Go Tax Refunds can help review your PAYE site travel, mileage, tools and other employment expenses to identify which tax relief may apply.

Check My Tax Relief
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