Advisory fuel rates for company cars

 

New company car advisory fuel rates have been published which took effect from 1 December 2017. The guidance states: ‘You can use the previous rates for up to one month from the date the new rates apply’. The rates only apply to employees using a company car.

The advisory fuel rates for journeys undertaken on or after 1 December 2017 are:

Engine size	Petrol
1400cc or less	11p
1401cc - 2000cc	14p
Over 2000cc	21p
Engine size	LPG
1400cc or less	7p
1401cc - 2000cc	9p
Over 2000cc	14p
Engine size	Diesel
1600cc or less	9p
1601cc - 2000cc	11p
Over 2000cc	13p

HMRC guidance states that the rates only apply when you either:

•         reimburse employees for business travel in their company cars

•         require employees to repay the cost of fuel used for private travel

You must not use these rates in any other circumstances.

If you would like to discuss your car policy, please contact us.

 

What Next?

For more information visit:  GOV.UK AFR

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