New Advisory Fuel Rates Published 01/09/20

HMRC has published new Advisory Fuel Rates for company car drivers claiming fuel expenses.

The new rates, which take effect on 1 September 2020, see the AFR pence per mile (PPM) for petrol remaining unchanged. Two of the rates for diesel cars (1600cc or less and over 2000cc) also remain unchanged.  

For diesel cars with an engine size from 1601cc to 2000cc there has been an increase from 9ppm to 10ppm. 

The only other changes from June to September’s new AFRs is relate to LPG rates. The AFR for LPG company cars with an engine from 1401cc to 2000cc remains the same at 8ppm, but it increases by 1ppm for engine sizes 1400cc or less and over 2000cc, up to 7ppm and 12ppm respectively.   

Hybrid cars are treated as either petrol or diesel cars for AFR purposes. 

The advisory electricity rate (AER) for plug-in cars remains unchanged at 4ppm. 

See the AFR rate guidance on the GOV.UK website.

This article has been reproduced with the permission of the BVRLA (