New advisory fuel rates are now in effect

HMRC has updated its advisory fuel rates for company cars from 1st September 2026.

The rates vary depending on the fuel type and engine size, with the latest figures including:

Petrol

• Up to 1,400cc: 14p per mile
• 1,401cc to 2,000cc: 17p per mile
• Over 2,000cc: 27p per mile

Diesel

• Up to 1,600cc: 15p per mile
• 1,601cc to 2,000cc: 16p per mile
• Over 2,000cc: 22p per mile

Fully electric cars

• Home charging: 7p per mile
• Public charging: 15p per mile

If your business provides company cars or reimburses employees for business mileage, it’s worth checking that your processes are using the correct rates.

Need help working out which rates apply? Get in touch with the Verallo team.