Outrageous Expense Claims Spell Danger For UK Businesses

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. October 14, 2008

UNITED KINGDOM, July 6, 2005. From helicopter re-sprays to hedge trimmers - Travelodge research uncovers the cheekiest expenses claims submitted and highlights problems ahead for companies that don't control spending

Research out today from Travelodge, the UK's fastest growing and most successful budget hotel company, lifts the lid on outrageous expense claims that are scamming employers out of hundreds of thousands of pounds per year.

Working with recruitment specialists Office Angels, Travelodge questioned secretaries and PAs about their experiences of submitting expenses claims on behalf of their bosses. The surprising findings illustrate a trend toward dodgy dealings as bosses ask their PAs to claim back more than the norm.

The top five reimbursed expense surprises were:

. The lb20,000 bill for the re-spray of a private helicopter

. Two tonnes of dried white bait to secure a hunting licence in Zimbabwe

. Two bills for entertaining the same client on the same day at the same time

. The dry cleaning bill following a four day trip to Cannes for five suits, three cocktail dresses and an evening gown

. The business meeting at a lap dancing club

Several finance departments did reject some claims including a new hedge trimmer and a replacement pair of shoes and trousers, claimed after the new employee stepped in wet cement outside the new office entrance!

As amusing as the claims may be, the serious fact remains that hundreds of businesses are inefficiently tracking staff expenses and consequently wasting money unnecessarily.

Business trips emerged as a major culprit in unnecessary expenditure, with food and drink cited as the most likely reason for exorbitant expenses. 69% of PAs reported a lack of restraint when it came to their bosses' food and beverage claims, with almost nine out of ten noting they had submitted questionable claims in this area. One example is the boss that was reimbursed for the flowers and dinner that wasn't with a client or even his wife!

On a more positive note, the findings indicated that businesses do have some level of financial conscience as over two thirds said they would book budget accommodation - a great way to keep costs down during necessary trips away. Despite this, 42% of businesses still said they currently budget between lb100 and lb200 for a night's accommodation, a figure that could be drastically reduced if they made the time to research cheaper alternatives.

Guy Parsons, Sales and Marketing Director for Travelodge comments, "I was really taken aback by the amazing expense claim examples we uncovered. I don't know how those businesses are going to survive in the long run - if you can't manage your expenses, can you really manage your company's profitability?

Travelodge enables organisations to control costs because we don't offer extras, such as room service, that encourage people to waste money. What we do offer is everything the customer needs for a great night's sleep and with facilities such as in-room Internet access* and room rates starting from just lb26** it's the smart choice for sharp businesses, particularly given the handy locations of our 269 hotels across the country."