New company car advisory fuel rates have been published and took effect from 1 December 2025.
The guidance states: ‘you can use the previous rates for up to one month from the date the new rates apply’. The rates only apply to employees using a company car.
The advisory fuel rates for journeys undertaken on or after 1 December 2025 are:
|
Engine size |
Petrol |
|
1400cc or less |
12p |
|
1401cc - 2000cc |
14p |
|
Over 2000cc |
22p |
|
Engine size |
Diesel |
|
1600cc or less |
12p |
|
1601cc - 2000cc |
13p |
|
Over 2000cc |
18p |
|
Engine size |
LPG |
|
1400cc or less |
11p |
|
1401cc - 2000cc |
13p |
|
Over 2000cc |
21p |
HMRC guidance states that the rates only apply when you either:
You must not use these rates in any other circumstances.
The Advisory Electricity Rate for fully electric cars is below. Electricity is not a fuel for car fuel benefit purposes.
|
Advisory Electricity Rate |
|
|
Home Charger |
7p |
|
Public Charger |
14p |
If you would like to discuss your company car policy, please contact us.
Internet link: GOV.UK AFR
