Advisory Fuel Rates

Advisory Fuel Rates

Fleet News 1 Sep 2021

Advisory Fuel Rates

HM Revenue & Customs (HMRC) has announced revisions to the Advisory Fuel Rates (AFR).

These rates only apply to employees using a company car and start from 1 June 2021. However, you can use the previous rates for up to one month from the date the new rates apply.

 

Table of rates (Petrol, diesel and LPG rates shown are amount per mile)

Engine size Petrol LPG
140occ or less 12p 7p
1401cc to 2000cc 14p 8p
Over 2000cc 20p 12p

 

Engine size Diesel
1600cc or less 10p
1601cc to 2000cc 12p
Over to 2000cc 15p

Hybrid cars are treated as either petrol or diesel cars for this purpose.

 

Advisory Electricity Rate

The Advisory Electricity Rate (AER) for fully electric cars is 4 pence per mile.

Electricity is not a fuel for car fuel benefit purposes.

 

HMRC review these rates four times a year. Any changes take effect at the beginning of each calendar quarter (on 1 March, 1 June, 1 September and 1 December).

More details on the current AFR are available through the HMRC website:

https://www.gov.uk/government/publications/advisory-fuel-rates.

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