Latest advisory fuel rates update

New advisory fuel rates coming into play next week for employees' usage of company cars, following the latest quarterly update.

From 1 December 2021, the following advisory fuel rates are in place for petrol and LPG-fuelled company cars.

Engine size Petrol (per mile) LPG (per mile)
 1400cc or less 13p  9p 
 1401cc to 2000cc 15p  10p 
 Over 2000cc 22p  15p 

For company cars with diesel engines, the rates are:

Engine size Diesel (per mile)
 1600cc or less 11p 
 1601cc to 2000cc 13p 
 Over 2000cc 16p 
Hybrid cars are treated as either petrol or diesel cars for this purpose, while the advisory electricity rate for fully-electric cars is 5p per mile.

These rates apply when an employer reimburses employees for business travel in their company car and when employees are required to repay the cost of fuel used for private travel.

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The Association of Independent Professionals and the Self Employed