- Last Updated: 25 November 2020
HMRC have published new advisory fuel rates for company car drivers which will apply from 1 December 2020.
The new rates are:
Engine size | Petrol | Diesel | LPG | Electric* |
1,400cc or less | 10p | 7p | 4p | |
1,600cc or less | 8p | 4p | ||
1,401cc - 2,000cc | 11p | 8p | 4p | |
1,601cc to 2,000.cc | 10p | 4p | ||
Over 2,000cc. | 17p | 12p | 12p | 4p |
* Fully electric cars only
You can continue to use the old rates up to 31 December 2020, see below.
Advisory fuel rates are set by HMRC
- Employers can use these rates to reimburse Company car drivers for business fuel.
- These rates can also be used if employees are required to repay the cost of fuel used for private travel.
- These rates should not be used in relation to vans.
- Hybrid cars can be treated as either petrol or diesel cars for this purpose.
- These amounts also apply for VAT purposes, but employers can only reclaim input VAT if the employee supplies a receipt.
On 1 December 2017, as part of the Taxation of employee expenses: Response to the call for evidence, the Government announced it had considered the position and had no plans to change the current system; particularly it would not introduce specific rates for hybrid and electric cars. However, in August 2018 HMRC announced that from 1 September 2018:
- They would accept that if employers pay up to 4 pence per mile when reimbursing employees for business travel in a fully electric company car there is no profit for income tax or earnings for NI purposes.
- Employers can use their own rate if it better reflects circumstances, for example, if their cars are more efficient, or if the cost of business travel is higher than the guideline rate.
- If employers pay a rate that is higher than the advisory rate and cannot demonstrate the electricity cost per mile is higher, they must treat any excess as taxable profit and as earnings for Class 1 National Insurance purposes.
Rates from 1 September 2020
Engine size | Petrol | Diesel | LPG | Electric* |
1,400cc or less | 10p | 7p | 4p | |
1,600cc or less | 8p | 4p | ||
1,401cc - 2,000cc | 12p | 8p | 4p | |
1,601cc to 2,000.cc | 10p | 4p | ||
Over 2,000cc. | 17p | 12p | 12p | 4p |
* Fully electric cars only
Rates from 1 June 2020
Engine size | Petrol | Diesel | LPG | Electric* |
1,400cc or less | 10p | 6p | 4p | |
1,600cc or less | 8p | 4p | ||
1,401cc - 2,000cc | 12p | 8p | 4p | |
1,601cc to 2,000.cc | 9p | 4p | ||
Over 2,000cc. | 17p | 12p | 11p | 4p |
* Fully electric cars only
Rates from 1 March 2020
Engine size | Petrol | Diesel | LPG | Electric* |
1,400cc or less | 12p | 8p | 4p | |
1,600cc or less | 9p | 4p | ||
1,401cc - 2,000cc | 14p | 10p | 4p | |
1,601cc to 2,000.cc | 11p | 4p | ||
Over 2,000cc. | 20p | 13p | 14p | 4p |
* Fully electric cars only
Rates from 1 December 2019
Engine size | Petrol | Diesel | LPG | Electric* |
1,400cc or less | 12p | 8p | 4p | |
1,600cc or less | 9p | 4p | ||
1,401cc - 2,000cc | 14p | 9p | 4p | |
1,601cc to 2,000.cc | 11p | 4p | ||
Over 2,000cc. | 21p | 14p | 14p | 4p |
* Fully electric cars only
Rates from 1 September 2019
Engine size | Petrol | Diesel | LPG | Electric* |
1,400cc or less | 12p | 8p | 4p | |
1,600cc or less | 10p | 4p | ||
1,401cc - 2,000cc | 15p | 10p | 4p | |
1,601cc to 2,000.cc | 11p | 4p | ||
Over 2,000cc. | 22p | 14p | 14p | 4p |
* Fully electric cars only
Rates from 1 June 2019
Engine size | Petrol | Diesel | LPG | Electric* |
1,400cc or less | 12p | 8p | 4p | |
1,600cc or less | 10p | 4p | ||
1,401cc - 2,000cc | 15p | 9p | 4p | |
1,601cc to 2,000.cc | 12p | 4p | ||
Over 2,000cc. | 22p | 14p | 14p | 4p |
* Fully electric cars only
Rates from 1 March 2019
Engine size | Petrol | Diesel | LPG | Electric* |
1,400cc or less | 11p | 7p | 4p | |
1,600cc or less | 10p | 4p | ||
1,401cc - 2,000cc | 14p | 8p | 4p | |
1,601cc to 2,000.cc | 11p | 4p | ||
Over 2,000cc. | 21p | 13p | 13p | 4p |
* Fully electric cars only
Rates from 1 December 2018
Engine size | Petrol | Diesel | LPG | Electric* |
1,400cc or less | 12p | 8p | 4p | |
1,600cc or less | 10p | 4p | ||
1,401cc - 2,000cc | 15p | 10p | 4p | |
1,601cc to 2,000.cc | 12p | 4p | ||
Over 2,000cc. | 22p | 14p | 15p | 4p |
* Fully electric cars only
Rates from 1 September 2018
Engine size | Petrol | Diesel | LPG | Electric* |
1,400cc or less | 12p | 7p | 4p | |
1,600cc or less | 10p | 4p | ||
1,401cc - 2,000cc | 15p | 9p | 4p | |
1,601cc - 2,000cc | 12p | 4p | ||
Over 2,000cc | 22p | 13p | 13p | 4p |
* Fully electric cars only
Rates from 1 June 2018
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 11p | 7p | |
1,600cc or less | 10p | ||
1,401cc - 2,000cc | 14p | 9p | |
1,601cc to 2,000cc | 11p | ||
Over 2,000cc | 22p | 13p | 14p |
Rates from 1 March 2018
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 11p | 7p | |
1,600cc or less | 9p | ||
1,401cc - 2,000cc | 14p | 8p | |
1,601cc to 2,000.cc | 11p | ||
Over 2,000cc. | 22p | 13p | 13p |
Rates from 1 December 2017
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 11p | 7p | |
1,600cc or less | 9p | ||
1,401cc - 2,000cc | 14p | 9p | |
1,601cc to 2,000.cc | 11p | ||
Over 2,000cc. | 21p | 13p | 14p |
Rates from 1 September 2017
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 11p | 7p | |
1,600cc or less | 9p | ||
1,401cc - 2,000cc | 13p | 8p | |
1,601cc to 2,000.cc | 11p | ||
Over 2,000cc. | 21p | 12p | 13p |
Rates from 1 June 2017
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 11p | 7p | |
1,600cc or less | 9p | ||
1,401cc - 2,000cc | 14p | 9p | |
1,601cc to 2,000.cc | 11p | ||
Over 2,000cc. | 21p | 13p | 14p |
Rates from 1 March 2017
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 11p | 7p | |
1,600cc or less | 9p | ||
1,401cc - 2,000cc | 14p | 9p | |
1,601cc to 2,000.cc | 11p | ||
Over 2,000cc. | 22p | 13p | 14p |
Rates from 1 December 2016
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 11p | 7p | |
1,600cc or less | 9p | ||
1,401cc - 2,000cc | 14p | 9p | |
1,601cc to 2,000.cc | 11p | ||
Over 2,000cc. | 21p | 13p | 13p |
Rates from 1 September 2016
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 11p | 7p | |
1,600cc or less | 9p | ||
1,401cc - 2,000cc | 13p | 9p | |
1,601cc to 2,000.cc | 11p | ||
Over 2,000cc. | 20p | 13p | 13p |
Rates from 1 June 2016
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 10p | 7p | |
1,600cc or less | 9p | ||
1,401cc - 2,000cc | 13p | 9p | |
1,601cc to 2,000.cc | 10p | ||
Over 2,000cc. | 20p | 12p | 13p |
Rates from 1 March 2016
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 10p | 7p | |
1,600cc or less | 8p | ||
1,401cc - 2,000cc | 12p | 8p | |
1,601cc to 2,000.cc | 10p | ||
Over 2,000cc. | 19p | 11p | 13p |
Rates from 1 December 2015
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 11p | 7p | |
1,600cc or less | 9p | ||
1,401cc - 2,000cc | 13p | 9p | |
1,601cc to 2,000.cc | 11p | ||
Over 2,000cc. | 20p | 13p | 13p |
Rates from 1 September 2015
Engine size |
Petrol |
Diesel |
LPG |
1,400cc or less |
11p |
7p |
|
1,600cc or less |
9p |
||
1,401cc - 2,000cc |
14p |
9p |
|
1,601cc to 2,000.cc |
11p |
||
Over 2,000cc. |
21p |
13p |
14p |
Rates from 1 June 2015:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 12p | 8p | |
1,600cc or less | 10p | ||
1,401cc - 2,000cc | 14p | 9p | |
1,601cc to 2,000.cc | 12p | ||
Over 2,000cc. | 21p | 14p | 14p |
Rates from 1 March 2015:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 11p | 8p | |
1,600cc or less | 9p | ||
1,401cc - 2,000cc | 13p | 10p | |
1,601cc to 2,000.cc | 11p | ||
Over 2,000cc. | 20p | 14p | 14p |
Rates from 1 Dec 2014:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 13p | 9p | |
1,600cc or less | 11p | ||
1,401cc - 2,000cc | 16p | 11p | |
1,601cc to 2,000.cc | 13p | ||
Over 2,000cc. | 23p | 17p | 16p |
Rates from 1 Sept 2014:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 14p | 9p | |
1,600cc or less | 11p | ||
1,401cc - 2,000cc | 16p | 11p | |
1,601cc to 2,000.cc | 13p | ||
Over 2,000cc. | 24p | 17p | 16p |
Rates from 1 June 2014:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 14p | 9p | |
1,600cc or less | 12p | ||
1,401cc - 2,000cc | 16p | 11p | |
1,601cc to 2,000.cc | 14p | ||
Over 2,000cc. | 24p | 17p | 16p |
Rates from 1 March 2014:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 14p | 9p | |
1,600cc or less | 12p | ||
1,401cc - 2,000cc | 16p | 11p | |
1,601cc to 2,000.cc | 14p | ||
Over 2,000cc. | 24p | 17p | 17p |
Rates from 1 Dec 2013:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 14p | 9p | |
1,600cc or less | 12p | ||
1,401cc - 2,000cc | 16p | 11p | |
1,601cc to 2,000.cc | 14p | ||
Over 2,000cc. | 24p | 17p | 16p |
Rates from 1 Sept 2013:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 15p | 10p | |
1,600cc or less | 12p | ||
1,401cc - 2,000cc | 18p | 11p | |
1,601cc to 2,000.cc | 15p | ||
Over 2,000cc. | 26p | 18p | 16p |
Rates from 1 June 2013:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 15p | 10p | |
1,600cc or less | 12p | ||
1,401cc - 2,000cc | 17p | 12p | |
1,601cc to 2,000.cc | 14p | ||
Over 2,000cc. | 25p | 18p | 18p |
Rates from 1 March 2013:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 15p | 10p | |
1,600cc or less | 13p | ||
1,401cc - 2,000cc | 18p | 12p | |
1,601cc to 2,000.cc | 15p | ||
Over 2,000cc. | 26p | 18p | 18p |
Rates from 1 December 2012:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 15p | 11p | |
1,600cc or less | 12p | ||
1,401cc - 2,000cc | 18p | 13p | |
1,601cc to 2,000.cc | 15p | ||
Over 2,000cc. | 26p | 18p | 18p |
Rates from 1 September 2012:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 15p | 10p | |
1,600cc or less | 12p | ||
1,401cc - 2,000cc | 18p | 12p | |
1,601cc to 2,000.cc | 15p | ||
Over 2,000cc. | 26p | 18p | 17p |
Rates from 1 June 2012:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 15p | 11p | |
1,600cc or less | 12p | ||
1,401cc - 2,000cc | 18p | 13p | |
1,601cc to 2,000.cc | 15p | ||
Over 2,000cc. | 26p | 18p | 19p |
Rates from 1 March 2012:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 15p | 10p | |
1,600cc or less | 13p | ||
1,401cc - 2,000.cc | 18p | 12p | |
1,601cc to 2,000cc | 15p | ||
Over 2,000cc. | 26p | 19p | 18p |
Rates: 1 December 2011
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 15p | 10p | |
1,600cc or less | 12p | ||
1,401cc - 2,000cc | 18p | 12p | |
1,601cc to 2,000cc | 15p | ||
Over 2,000cc. | 26p | 18p | 18p |
Rates: 1 September 2011
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 15p | 11p | |
1,600cc or less | 12p | ||
1,401cc - 2,000 cc | 18p | 12p | |
1,601cc to 2,000cc | 15p | ||
Over 2,000cc | 26p | 18p | 18p |
Rates: 1 June 2011
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 15p | 11p | |
1,600cc or less | 12p | ||
1,401cc - 2,000cc | 18p | 13p | |
1,601cc to 2,000cc | 15p | ||
Over 2,000cc | 26p | 18p | 18p |
Rates 1 March 2011:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 14p | 13p | 10p |
1,401cc - 2,000cc | 16p | 13p | 12p |
Over 2,000cc | 23p | 16p | 17p |
Rates 1 December 2010:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 13p | 12p | 9p |
1,401cc - 2,000cc | 15p | 12p | 10p |
Over 2,000cc | 21p | 15p | 15p |
Rates 1 June 2010 to 30 November 2010
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 12p | 11p | 8p |
1,401cc - 2,000cc | 15p | 11p | 10p |
Over 2,000cc | 21p | 16p | 14p |
Rates 1 December 2009 to 31 May 2010:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 11p | 11p | 7p |
1,401cc - 2,000cc | 14p | 11p | 8p |
Over 2,000cc | 20p | 14p | 12p |
Rates 1 July 2009 to 30 November 2009:
Engine size | Petrol | Diesel | LPG |
1,400cc or less | 10p | 10p | 7p |
1,401cc - 2,000cc | 12p | 10p | 8p |
Over 2,000cc | 18p | 13p | 12p |
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