What expenses can I claim as self-employed UK?

You can claim any expense that's wholly and exclusively for business purposes. This includes office costs, travel, equipment, professional services, marketing, insurance, and a portion of home expenses if you work from home. You cannot claim personal expenses or anything with mixed personal/business use without apportioning.

Can I claim food as a business expense self-employed?

Generally no — HMRC considers eating a personal choice whether you work or not. However, you can claim subsistence (reasonable food costs) when travelling overnight for business or attending a business event away from your normal workplace. You cannot claim your daily lunch.

Can I claim clothing as a business expense?

Only if it's a uniform with a logo that you can't wear casually, protective clothing required for work (like safety boots), or costume for a performance. Ordinary business clothes like suits cannot be claimed even if you only wear them for work.

Do I need receipts for all expenses?

Yes, you should keep receipts or proof of purchase for all expenses. For expenses under £10, HMRC may accept a written record if you've genuinely lost the receipt, but this should be exceptional not routine. Keep records for at least 6 years.

Self-Employed Expenses You Can Claim UK 2026 — Complete List | PocketWise

Claiming the right expenses reduces your tax bill. Here’s everything self-employed people and sole traders can claim in the UK.

How Business Expenses Work

Term	Meaning
Allowable expense	Cost you can deduct from income
Wholly and exclusively	Must be 100% for business
Tax relief	Less taxable profit = less tax

Tax Savings Example

Situation	Without Claiming	With £5,000 Expenses
Income	£40,000	£40,000
Taxable profit	£40,000	£35,000
Tax saved (20%)	—	£1,000

Every £100 of allowable expenses saves £20-45 in tax depending on your rate.

Office and Premises Costs

Expense	Claimable	Notes
Rent for business premises	Yes	Full amount
Utilities (business premises)	Yes	Full amount
Business rates	Yes	Full amount
Office furniture	Yes	Or capital allowances
Stationery	Yes	Paper, pens, etc.
Printing and postage	Yes	Business-related only
Computer equipment	Yes	Business use portion
Software subscriptions	Yes	Business tools only

Working from Home

You can claim a proportion of home costs:

Method	How It Works
Simplified expenses	Flat rate based on hours worked
Actual costs	Calculate proportion used for business

Simplified Expenses (Flat Rate)

Hours Worked from Home	Monthly Amount
25-50 hours	£10
51-100 hours	£18
101+ hours	£26

Annual example: 101+ hours/month × 12 = £312/year

Actual Costs Method

Calculate percentage of home used for business:

Expense	Total Cost	Business Use (10%)
Mortgage interest/rent	£12,000	£1,200
Council tax	£1,800	£180
Utilities	£2,400	£240
Insurance	£300	£30
Total claimable		£1,650

Travel Expenses

Expense	Claimable	Notes
Business travel (public transport)	Yes	Trains, buses, taxis
Business travel (own car)	Yes	Mileage or actual costs
Parking (business)	Yes	Not fines
Accommodation (business trips)	Yes	Reasonable cost
Subsistence (overnight trips)	Yes	Food when away
Congestion charges (business)	Yes	London, etc.

Car Expenses

Method	How It Works
Simplified mileage	Flat rate per mile
Actual costs	Fuel, insurance, repairs, depreciation

Simplified Mileage Rates

Vehicle Type	First 10,000 Miles	Above 10,000 Miles
Car/van	45p	25p
Motorcycle	24p	24p
Bicycle	20p	20p

Example: 8,000 business miles × 45p = £3,600 claimable

What Counts as Business Travel

Journey	Claimable?
Home to regular workplace	No (commuting)
Workplace to client site	Yes
Home to temporary workplace	Yes (if irregular)
Business meeting travel	Yes
Training course travel	Yes

You cannot claim commuting from home to a regular place of work.

Staff Costs

Expense	Claimable	Notes
Employee salaries	Yes	Gross amount
Employer’s National Insurance	Yes	Full amount
Pension contributions (employer)	Yes	Into employee pensions
Subcontractor/freelancer payments	Yes	For business services
Recruitment costs	Yes	Advertising, agency fees
Staff training	Yes	Job-related training
Staff gifts	Partially	Max £50/employee/year tax-free

Marketing and Sales

Expense	Claimable	Notes
Advertising	Yes	Online, print, etc.
Website costs	Yes	Hosting, design, domain
Business cards	Yes	Design and printing
Promotional materials	Yes	Flyers, brochures
Trade shows	Yes	Exhibition stands, fees
Samples	Yes	Given to potential customers
PR and marketing services	Yes	Agency or freelancer fees

Professional Services

Expense	Claimable	Notes
Accountancy fees	Yes	Tax returns, accounts
Legal fees (business)	Mostly	Not for buying property
Professional subscriptions	Yes	Relevant to your trade
Trade body memberships	Yes	Industry associations
Regulatory fees	Yes	Licences, registrations
Consultancy fees	Yes	Business advice

Insurance

Expense	Claimable	Notes
Professional indemnity	Yes	Full amount
Public liability	Yes	Full amount
Employers’ liability	Yes	Required if you have staff
Business premises insurance	Yes	Full amount
Equipment/stock insurance	Yes	Business assets
Business vehicle insurance	Yes	Or proportion for mixed use

Not claimable: Personal insurance like life insurance or private health insurance.

Financial Costs

Expense	Claimable	Notes
Bank charges (business account)	Yes	Monthly fees, transaction costs
Interest on business loans	Yes	Not the capital repayment
Credit card interest (business)	Yes	Business purchases only
Invoice factoring costs	Yes	Fee charged
Bad debts	Yes	Invoices you can’t collect
Card processing fees	Yes	Stripe, PayPal, etc.

Training and Development

Expense	Claimable	Notes
Training courses (job-related)	Yes	Improving existing skills
Industry conferences	Yes	Seminars, workshops
Books and publications	Yes	Relevant to your work
Online courses	Yes	Business-related only

Not claimable: Training for a completely new career or qualifications that let you do something different.

What You Cannot Claim

Expense	Why Not Claimable
Personal expenses	Not for business
Everyday clothing	Personal choice
Daily food/lunch	You’d eat anyway
Fines and penalties	Public policy
Client entertainment	Specifically excluded
Home to work commuting	Personal travel
Personal phone bill	Unless you apportion
Gym membership	Personal fitness
Childcare	Personal expense

Mixed Use Expenses

For items with both personal and business use, claim only the business proportion.

Item	Approach
Mobile phone	Claim % of business calls or get business contract
Internet	Claim % used for business
Computer	Claim % of business use
Vehicle	Claim business mileage only

Record Keeping Requirements

What to Keep

Record	Retention Period
Receipts	6 years
Invoices (sales and purchases)	6 years
Bank statements	6 years
Mileage log	6 years
Contracts	6 years

Good Record Keeping

Practice	Why It Matters
Digital copies	Backup if originals lost
Organised by date/category	Easier for tax returns
Mileage log	HMRC expects details
Separate business account	Clear business transactions

Simplified Expenses Summary

Category	Simplified Rate
Working from home	£10-£26/month
Vehicle mileage	45p/25p per mile
Living on business premises	Flat rate deduction

Simplified expenses are easier but may give you less relief than actual costs. Calculate both to see which benefits you more.

Common Mistakes to Avoid

Mistake	Consequence
Claiming personal expenses	HMRC penalties
No receipts	Expense disallowed
Claiming commuting	Not allowable
Round number estimates	Looks suspicious
Overclaiming	Investigation risk
Missing legitimate expenses	Paying too much tax

How to Claim Expenses

Self Assessment Tax Return

Keep records throughout the year
Calculate total expenses by category
Enter on self-employment pages (SA103)
Use simplified or actual costs consistently
Keep records for 6 years

Using Accounting Software

Software like FreeAgent, Xero, or QuickBooks can:

Track expenses automatically
Categorise correctly
Calculate simplified expenses
Generate tax return figures

Summary

Category	Examples
Office	Rent, utilities, stationery, equipment
Travel	Mileage, public transport, accommodation
Professional	Accountant, legal, subscriptions
Marketing	Advertising, website, materials
Financial	Bank fees, loan interest, bad debts
Insurance	Professional, liability, premises

Claiming all legitimate expenses reduces your tax bill legally. Keep good records, claim only genuine business costs, and get an accountant if you’re unsure.