Company cars - advisory fuel rates from 1 January 2009
These figures give about one month's notice of the changes and apply to all journeys on or after 1 January 2009 until further notice.
As was done for the July 2008 changes, HMRC is content for the new rates to be implemented immediately where employers are able and wish to do so.
Engine size |
Petrol |
Diesel |
LPG |
|---|---|---|---|
1400cc or less |
10p |
11p |
7p |
1401cc to 2000cc |
12p |
11p |
9p |
Over 2000cc |
17p |
14p |
12p |
Petrol hybrid cars are treated as petrol cars for this purpose.
These rates are calculated from the fuel prices in the tables below:
Engine size |
Mean |
Applied |
Fuel price |
Fuel price |
Pence |
AFR |
|---|---|---|---|---|---|---|
| up to 1400 |
48.8 |
43.9 |
93.1 |
423.3 |
9.6 |
10 |
| 1400 - 2000 |
40.0 |
36.0 |
93.1 |
423.3 |
11.8 |
12 |
| over 2000 |
28.1 |
25.3 |
93.1 |
423.3 |
16.7 |
17 |
| Engine size |
Mean |
Applied |
Fuel price |
Fuel price |
Pence |
AFR |
|---|---|---|---|---|---|---|
| up to 2000 |
50.9 |
45.8 |
107.8 |
490.0 |
10.7 |
11 |
| Over 2000 |
38.7 |
34.8 |
107.8 |
490.0 |
14.1 |
14 |
| Engine size |
Mean |
Applied |
Fuel price |
Fuel price |
Pence |
AFR |
|---|---|---|---|---|---|---|
| up to 1400 |
39.0 |
35.1 |
55.0 |
249.8 |
7.1 |
7 |
| 1400 - 2000 |
32.0 |
28.8 |
55.0 |
249.8 |
8.7 |
9 |
| over 2000 |
22.5 |
20.3 |
55.0 |
249.8 |
12.3 |
12 |
Notes:
- Mean mpg - miles per gallon - from manufacturers information, weighted by annual sales to businesses (Fleet Audits, 2007).
- Applied mpg - adjusted downwards by 10 per cent to take account of real driving conditions and lower fuel economy for older cars.
- For LPG, mpg is assumed to be 20 per cent lower than for petrol due to lower volumetric energy density.
- Department for Business, Enterprise & Regulatory Reform's latest petrol and diesel prices (25 November 2008), LPG from AA website (November 2008). Prices have been adjusted for the impending changes to fuel duty and VAT.
Will the rate per mile figures change if fuel prices go up or down?
With effect from the January 2008 change, the rates will be reviewed twice a year. Any changes will take effect on 1 January and 1 July but will be published on the HMRC website about one month in advance.
HMRC will also consider changing the rates if fuel prices fluctuate by 5 per cent from the published rates when each review is made and we consider the price change will be sustained.
Employers should make themselves aware of any changes by referring to this page in June and December each year. It is the primary source of information.
VAT
Customs will also accept the figures in the table for VAT purposes though employers will need to retain receipts in line with current legislation.
Further information is available for:
