HMRC advisory fuel rates from 1 December 2020

HMRC have published company car advisory fuel rates for use from 1 December 2020.

Information on how the advisory fuel rates are calculated has also been updated.

The rates apply when employers reimburse employees for the cost of fuel for business travel in their company cars or require employees to repay the cost of fuel used for private travel. HMRC review rates quarterly on 1 March, 1 June, 1 September and 1 December.

The advisory fuel rates are worked out from the fuel prices in these tables.

Petrol

Engine size (cc)Mean MPGApplied MPGFuel price (per litre)Fuel price (per gallon)Rate per mileAdvisory fuel rate
Up to 140057.052.7112.3 pence510.7 pence9.7 pence10 pence
1401 to 200048.244.6112.3 pence510.7 pence11.5 pence11 pence
Over 200032.730.3112.3 pence510.7 pence16.9 pence17 pence

Diesel

Engine size (cc)Mean MPGApplied MPGFuel price (per litre)Fuel price (per gallon)Rate per mileAdvisory fuel rate
Up to 160071.365.9117.1 pence532.2 pence8.1 pence8 pence
1601 to 200057.953.4117.1 pence532.2 pence10.0 pence10 pence
Over 200049.845.8117.1 pence532.2 pence11.6 pence12 pence

LPG

Engine size (cc)Mean MPGApplied MPGFuel price (per litre)Fuel price (per gallon)Rate per mileAdvisory fuel rate
Up to 140045.642.265.0 pence295.5 pence7.0 pence7 pence
1401 to 200038.535.765.0 pence295.5 pence8.3 pence8 pence
Over 200026.224.265.0 pence295.5 pence12.2 pence12 pence

The advisory electricity rate for fully electric cars is 4 pence per mile.

Hybrid cars are treated as either petrol or diesel cars for advisory fuel rates.

The advisory fuel rates for petrol, LPG and diesel cars are shown in these tables.

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

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