HMRC Advisory Fuel Rates for Company Cars
HMRC routinely reviews the published Advisory Fuel Rates every three months. The current rates, effective from 1 December 2011, are added to the table below. With the exception of one of the LPG rates, there are no changes to rates that applied from September 2011.
Employers may choose to:
- implement the new rates immediately, or use the old rate for up to one further month, and
- make, or require employees to make supplementary payments, if the new rates cannot be applied immediately, although there is no obligation to do so:
Petrol and LPG
| Fuel | Period | Engine Size | ||
| 1400cc or less | 1401 to 2000cc | Over 2000cc | ||
| Petrol and petrol-hybrid(pence per mile) | from 1/6/10 | 12p | 15p | 21p |
| from 1/12/10 | 13p | 15p | 21p | |
| from 1/3/11 | 14p | 16p | 23p | |
| from 1/6/11 | 15p | 18p | 26p | |
| From 1/9/11 | 15p | 18p | 26p | |
| From 1/12/11 | 15p | 18p | 26p | |
| LPG(pence per mile) | from 1/6/10 | 8p | 10p | 14p |
| from 1/12/10 | 9p | 10p | 15p | |
| from 1/3/11 | 10p | 12p | 17p | |
| from 1/6/11 | 11p | 13p | 18p | |
| From 1/9/11 | 11p | 12p | 18p | |
| From 1/12/11 | 10p | 12p | 18p | |
Diesel
| Period | Engine Size | |||
| 1400cc or less | 1401 to 2000cc | Over 2000cc | ||
| Diesel (pence per mile) | from 1/6/10 | 11p | 11p | 16p |
| from 1/12/10 | 12p | 12p | 15p | |
| from 1/3/11 | 13p | 13p | 16p | |
| from 1/6/11 | see below | |||
| Period | Engine Size | |||
| 1600cc or less | 1601 to 2000cc | Over 2000cc | ||
| Diesel(pence per mile) | from 1/6/11 | 12p | 15p | 18p |
| from 1/9/11 | 12p | 15p | 18p | |
| from 1/12/11 | 12p | 15p | 18p | |
HMRC documents the way in which the rates are calculated. They are based on average fuel consumption for the different engine sizes, reduced by 15% to make the figures more realistic. The fuel prices used are:
- petrol – 133.40 per litre (606.30p per gallon)
- diesel – 141.40p per litre (641.30p per gallon)
- LPG – 73.9p per litre (336.00p per gallon)
By way of a reminder, the Advisory Fuel Rates are provided by HMRC for employers to apply where they:
- reimburse employees for business travel in their company cars, or
- require employees to repay the cost of fuel used for private travel in company cars.
The latest rates are published immediately a change is announced.
Further Information
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