Hospitality (food, drink, and entertainment): expenses policy
The provision of hospitality, especially that provided externally, must be for the benefit of the University.
Examples of business benefit situations [1]
This section forms part of the Employee Expenses policy. Any deviations from the policy must adhere to the key principles [2] and be authorised by the Head of Institution. Where appropriate, any claims must also align to the funder’s terms and conditions.
Hospitality includes the provision of food, drink, and limited entertainment:
| Expense category | Allowable expenses | Additional information |
|---|---|---|
| Meals and drinks | Where the hospitality has been pre-authorised, costs may be reimbursed. | Hospitality should be undertaken on University premises and invoiced to the institution, rather than individual employees. |
| Other entertainment costs | It is expected that only low-value costs which are incidental to the business entertaining, e.g., taxi to a venue, would be incurred and reclaimed. | Follow the specific guidance within the University’s Policy against Bribery and Corruption [3]. |
Before providing or incurring hospitality costs
When providing or before incurring the costs of hospitality, authorisation must be obtained, in advance, in accordance with the following:
- Hospitality, wherever possible, is to be undertaken on University (and/or College) premises
Hospitality provided on collegiate University premises [4]
- Hospitality must not include anything other than the provision of food, a modest amount of alcohol and any incidental costs such as travel to a restaurant.
- Hospitality expenditure must be an appropriate use of University money: it must not be excessive (e.g., for staff hospitality the costs should not exceed the evening meal subsistence rates), nor should it be:
- provided frequently or regularly
- inappropriate (i.e., must not be seen to bring the University into disrepute by placing any public official under undue influence)
- Hospitality should be procured centrally via the institution, rather than reclaimed by individual employees. Where the costs cannot be procured centrally, they are to be reclaimed by the most senior member of staff present.
- Expense claims for hospitality must be authorised by the Head of Institution, except where they are the claimant, or benefited from the entertainment, when it must be authorised by someone at least one level higher.
Authorisation of hospitality expense claims [6]
Whether the hospitality is classified as staff or business entertaining for tax purposes is largely determined by the composition of the attendees. Accordingly, a list of all attendees must be maintained and submitted with the claim as appropriate.
Business entertaining versus staff entertaining [7]
Tax treatment for hospitality costs [8], Tax treatment business entertaining [9], Tax treatment staff entertainment [10]
Working lunches [11]
Annual events [12]
Team building, away days, courses [13]
Staff social events [14]
Latest version updated 28 Feb 2025, effective 1 Mar 2025