Latest advisory fuel rates published

The advisory fuel rates published by HMRC set fixed amounts that can be paid to an employee using a company car for business mileage, without income tax consequences. It's possible to use a higher rate, but you must show that the actual fuel cost per mile is greater than the advisory rates.

HMRC has now published the advisory rates applicable from 1 December 2023, with a 1p increase for all diesel car users.

The rates per mile will be:

The rate for electric vehicles has dropped to 9p. These rates apply from 1 December 2023, but you can still use the previous rates for one month from that date. For a full list of current and historic rates, click here.