In Wetherill & Ors v Birmingham City Council  EWCA Civ 599 the Court of Appeal held that a local authority was entitled to vary a car allowance scheme unilaterally, but was in breach of contract by failing to provide adequate transitional protection for affected employees.
In Barrie and others v Rochdale Metropolitan Borough Council, the EAT holds that car allowances paid to employees of the council were wholly in respect of expenses incurred by them in doing their jobs.
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