Company car fuel
HMRC advisory fuel rates from September 2026
Summary: These rates apply to company cars when an employer reimburses business fuel or an employee repays private fuel. They are separate from mileage allowance for an employee's own vehicle.
14p
15p
7p
Checked on .
Rates from 1 September 2026
| Fuel | Engine or charging | Rate |
|---|---|---|
| Petrol | 1,400cc or less | 14p per mile |
| Petrol | 1,401cc to 2,000cc | 17p per mile |
| Petrol | Over 2,000cc | 27p per mile |
| LPG | 1,400cc or less | 11p per mile |
| LPG | 1,401cc to 2,000cc | 13p per mile |
| LPG | Over 2,000cc | 20p per mile |
| Diesel | 1,600cc or less | 15p per mile |
| Diesel | 1,601cc to 2,000cc | 16p per mile |
| Diesel | Over 2,000cc | 22p per mile |
| Electric | Home charging | 7p per mile |
| Electric | Public charging | 15p per mile |
When can an advisory fuel rate be used?
- Use it when an employer reimburses business travel in a company car.
- Use it when an employee repays the cost of private travel in a company car.
- Use the petrol or diesel rate for a hybrid car.
- The previous rates may be used for up to one month after new rates start.
Common questions
- Do advisory fuel rates apply to my own car?
- No. These rates are for company cars. Approved mileage allowance rates apply when an employee uses their own vehicle.
- Which rate applies to a hybrid?
- HMRC says to use the petrol or diesel rate for a hybrid car.