Saudi Press

Saudi Arabia and the world
Wednesday, Dec 24, 2025

People working from home 'should pay more tax' after pandemic

People working from home 'should pay more tax' after pandemic

Staff who continue to work from home after the pandemic should be taxed to help support workers in lower-paid jobs, a new report has suggested.

Research from Deutsche Bank said workers should be taxed 5% of their salary each day if they choose to work remotely after coronavirus restrictions lift.

The bank argues the tax would leave the average employee no worse off, since they would be saving money on commuting, buying lunch out or purchasing more work clothes.

For employers who do not provide their workforce with a permanent desk, the bank suggests they should pay a work-from-home tax while those who are self-employed or on low-incomes should be exempt.

According to the report, this tax could create $48 billion (£36 billion) a year in the US and €20 billion (£17.8 billion) in Germany.

In the UK, Deutsche Bank calculates the tax could generate £7bn a year, enabling the Government to pay out £2,000 grants annually to low-income employees who have to travel to work as well as those under threat of redundancy.

It comes as the UK government’s website states Brits can claim tax relief on some of bills if they are required to work from home.

Deutsche Bank strategist Luke Templeman wrote: ‘For years we have needed a tax on remote workers. Covid has just made it obvious.


Deutsche Bank suggests staff who work from home should be taxed


‘Quite simply, our economic system is not set up to cope with people who can disconnect themselves from face-to-face society.

‘Those who can work from home receive direct and indirect financial benefits and they should be taxed to smooth the transition process for those who have been suddenly displaced.’

He also said: ‘A big chunk of people have disconnected themselves from the face-to-face world yet are still leading a full economic life.

‘That means remote workers are contributing less to the infrastructure of the economy whilst still receiving its benefits. That is a big problem for the economy.’


Deutsche Bank suggests staff who work from home should be taxed


A 5% work-from-home tax works out at around £7, based on a salary of £35,000.

It comes as millions of people in the UK have transitioned into remote working as employers closed offices to contain the spread of coronavirus.

Meanwhile, many employers have said staff will now be allowed to work from home permanently – either full-time or part-time.

The Deutsche Bank research also shows one-third of people want to continue working at least two days a week from home once the pandemic is over.

But the bank said there are millions of workers, like factory staff and nurses, who cannot work remotely.

Mr Templeman wrote: ‘The virus has benefitted those who can do their jobs virtually, such as bank analysts, and threatened the livelihoods or health of those who can’t.’

Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Saudi Arabia’s 2025: A Pivotal Year of Global Engagement and Domestic Transformation
Saudi Arabia to Introduce Sugar-Content Based Tax on Sweetened Drinks from January 2026
Saudi Hotels Prepare for New Hospitality Roles as Alcohol Curbs Ease
Global Airports Forum Highlights Saudi Arabia’s Emergence as a Leading Aviation Powerhouse
Saudi Arabia Weighs Strategic Choice on Iran Amid Regional Turbulence
Not Only F-35s: Saudi Arabia to Gain Access to the World’s Most Sensitive Technology
Saudi Arabia Condemns Sydney Bondi Beach Shooting and Expresses Solidarity with Australia
Washington Watches Beijing–Riyadh Rapprochement as Strategic Balance Shifts
Saudi Arabia Urges Stronger Partnerships and Efficient Aid Delivery at OCHA Donor Support Meeting in Geneva
Saudi Arabia’s Vision 2030 Drives Measurable Lift in Global Reputation and Influence
Alcohol Policies Vary Widely Across Muslim-Majority Countries, With Many Permitting Consumption Under Specific Rules
Saudi Arabia Clarifies No Formal Ban on Photography at Holy Mosques for Hajj 2026
Libya and Saudi Arabia Sign Strategic MoU to Boost Telecommunications Cooperation
Elon Musk’s xAI Announces Landmark 500-Megawatt AI Data Center in Saudi Arabia
Israel Moves to Safeguard Regional Stability as F-35 Sales Debate Intensifies
Cardi B to Make Historic Saudi Arabia Debut at Soundstorm 2025 Festival
U.S. Democratic Lawmakers Raise National Security and Influence Concerns Over Paramount’s Hostile Bid for Warner Bros. Discovery
Hackers Are Hiding Malware in Open-Source Tools and IDE Extensions
Traveling to USA? Homeland Security moving toward requiring foreign travelers to share social media history
Wall Street Analysts Clash With Riyadh Over Saudi Arabia’s Deficit Outlook
Trump and Saudi Crown Prince Cement $1 Trillion-Plus Deals in High-Profile White House Summit
Saudi Arabia Opens Alcohol Sales to Wealthy Non-Muslim Residents Under New Access Rules
U.S.–Saudi Rethink Deepens — Washington Moves Ahead Without Linking Riyadh to Israel Normalisation
Saudi Arabia and Israel Deprioritise Diplomacy: Normalisation No Longer a Middle-East Priority
Saudi Arabia Positions Itself as the Backbone of the Global AI Era
As Trump Deepens Ties with Saudi Arabia, Push for Israel Normalization Takes a Back Seat
Thai Food Village Debuts at Saudi Feast Food Festival 2025 Under Thai Commerce Minister Suphajee’s Lead
Saudi Arabia Sharpens Its Strategic Vision as Economic Transformation Enters New Phase
Saudi Arabia Projects $44 Billion Budget Shortfall in 2026 as Economy Rebalances
OPEC+ Unveils New Capacity-Based System to Anchor Future Oil Output Levels
Will Saudi Arabia End Up Bankrolling Israel’s Post-Ceasefire Order in Lebanon?
Saudi Arabia’s SAMAI Initiative Surpasses One-Million-Citizen Milestone in National AI Upskilling Drive
Saudi Arabia’s Specialty Coffee Market Set to Surge as Demand Soars and New Exhibition Drops in December
Saudi Arabia Moves to Open Two New Alcohol Stores for Foreigners Under Vision 2030 Reform
Saudi Arabia’s AI Ambitions Gain Momentum — but Water, Talent and Infrastructure Pose Major Hurdles
Tensions Surface in Trump-MBS Talks as Saudi Pushes Back on Israel Normalisation
Saudi Arabia Signals Major Maritime Crack-Down on Houthi Routes in Red Sea
Italy and Saudi Arabia Seal Over 20 Strategic Deals at Business Forum in Riyadh
COP30 Ends Without Fossil Fuel Phase-Out as US, Saudi Arabia and Russia Align in Obstruction Role
Saudi-Portuguese Economic Horizons Expand Through Strategic Business Council
DHL Commits $150 Million for Landmark Logistics Hub in Saudi Arabia
Saudi Aramco Weighs Disposals Amid $10 Billion-Plus Asset Sales Discussion
Trump Hosts Saudi Crown Prince for Major Defence and Investment Agreements
Families Accuse OpenAI of Enabling ‘AI-Driven Delusions’ After Multiple Suicides
Riyadh Metro Records Over One Hundred Million Journeys as Saudi Capital Accelerates Transit Era
Trump’s Grand Saudi Welcome Highlights U.S.–Riyadh Pivot as Israel Watches Warily
U.S. Set to Sell F-35 Jets to Saudi Arabia in Major Strategic Shift
Saudi Arabia Doubles Down on U.S. Partnership in Strategic Move
Saudi Arabia Charts Tech and Nuclear Leap Under Crown Prince’s U.S. Visit
Trump Elevates Saudi Arabia to Major Non-NATO Ally Amid Defense Deal
×