Mileage Rates

Advisory Fuel Rate

The current rates are shown below and should be used when calculating repayment of personal mileage in company cars or to pay employees for business travel in company cars.

Fuel rates from 1st June to 31st August 2022

Engine Size Petrol Diesel LPG
1400cc or smaller 14p   9p
1401cc to 2000cc 17p   11p
1600cc or smaller   13p  
1601cc to 2000cc   16p  
Over 2000cc 25p 19p 16p


Previous fuel rates from 1st March to 31 May 2022

Engine Size Petrol Diesel LPG
1400cc or smaller 13p   9p
1401cc to 2000cc 15p   10p
1600cc or smaller   11p  
1601cc to 2000cc   13p  
Over 2000cc 22p 16p 15p

Mileage Allowance Payments

Mileage allowance payments are paid to employees for using their own vehicle for business journeys.

As long as the payment is within the HMRC approved mileage allowance payment threshold the payment is not subject to tax.  If you pay less than the approved mileage allowance payment your employee can claim the difference from HMRC.  If you pay more the amount above the approved payment will be taxable.

  • Car up to 10,000 miles per annum - 45p per mile
  • Car over 10,000 miles per annum - 25p per mile
  • Motorcyle - 24p per mile
  • Bicycle - 20p per mile
  • Passenger - 5p per mile
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Unit 21 Portway Business Centre
Old Sarum, Salisbury

t: 01722 341820