Advisory fuel rate for company cars

The table below sets out the HMRC advisory reimbursement rates for employees’ private mileage using their company car from 1 March 2023. Where full reimbursement is made there is no taxable fuel benefit. The rates for the previous quarter, if different, are in brackets.

Engine Size Petrol Diesel LPG
1400cc or less 13p (14p) 10p
1600cc or less 13p (14p)
1401cc to 2000cc 15p (17p) 11p (12p)
1601 to 2000cc 15p (17p)
Over 2000cc 23p (26p) 20p (22p) 17p (18p)

Note that for hybrid cars you must use the petrol or diesel rate and for fully electric cars the rate is now 9p per mile (8p per mile up to 28 February 2023).

You can continue to use the previous rates for up to 1 month from the date the new rates apply.

Our experts at Beavis Morgan can ensure your tax affairs are as efficient as possible to fit your circumstances. In addition, we can look ahead to retirement and inheritance tax planning.

For more information and to discuss your tax affairs in further detail, contact your usual Beavis Morgan Partner or email