What is HCI?

The Home Computing Initiative (HCI) is a major Government scheme which aims to put PCs into more homes and increase computer skills across the UK.  The Initiatives are enabled by the 1999 tax exemption on loaned computers, which allows employers to implement a tax-exempt loan scheme for computer equipment for their employees to use at home.

77% of those who have a computer at home say it improves work/life balance.
* Source, NOP work survey Nov 2003

Benefits for Employers

• Increased Productivity.  Employees with home computers have a wider range of IT and other skills and need less training to implement technological changes.

• Employee Retention.  A HCI scheme as an addition to company benefits, can enhance employer/employee relations, reduce staff turnover and attract others.

• Tax Savings.  When employees buy a computer under a HCI scheme with 'salary sacrifice', the employers NICs are also reduced.

51% of employees say they have learnt skills which have helped at work
* Source, NOP work survey Nov 2003

Benefits for Employees

• Education and Learning.  With a computer at home, employees can develop their skills, either personally or vocationally, with internet-based courses and training at their convenience.

• Preferential Finance.  By using the 'salary sacrifice' system, the cost of obtaining a computer can be spread over the duration of the loan period, which may be particularly beneficial to some employees.

• Financial Savings.  Combining Income Tax and NIC savings by deducting the 'salary sacrifice' out of gross pay, can save employees between 33% and 41%.

• Lower Prices.  Companies who buy in bulk and get a discount on retail prices can pass on this discount to employees, giving them the benefit of the latest technology at lower prices.

69% of people said that having IT skills is important for finding new work or getting a promotion
* Source, NOP work survey Nov 2003

HCI and Microsoft

Microsoft supports the HCI concept of widening access to computers and computing skills, and are committed to working with the UK Government and industry partners on it.  Microsoft co-founded the HCI Alliance (with BT and Intel) to formulate an initial approach to the scheme.  They have also developed products and processes to help corporate employers implement HCI schemes.

More Information

To find out more about HCI, including implementation and tax exemption details, you can download information from the Department for Trade and Industry website.