Advisory Fuel Rates from 1.9.2023

HMRC’s latest advisory fuel rates from 1.9.2023

HMRC’s advisory fuel rates (AFRs) have risen slightly from 1 September 2023. As usual, you can use the old rates until 30 September 2023. The table shows the AFRs from 1 September with the previous rates in brackets.

Up to 1,400cc

Electric per mile: -
Petrol per mile: 13p (13p)
LPG per mile: 10p (10p)
Diesel per mile: -

1,401cc to 2,000cc

Electric per mile: -
Petrol per mile: 16p (15p)
LPG per mile: 12p (12p)
Diesel per mile: -

Up to 1,600cc

Electric per mile: -
Petrol per mile: -
LPG per mile: -
Diesel per mile: 12p (12p)

1,601cc to 2,000cc

Electric per mile: -
Petrol per mile: -
LPG per mile: -
Diesel per mile: 14p (14p)

Over 2,000cc

Electric per mile: -
Petrol per mile: 25p (23p)
LPG per mile: 19p (18p)
Diesel per mile: 19p (18p)

N/A

Electric per mile: 10p (9p)
Petrol per mile: -
LPG per mile: -
Diesel per mile: -

Reimbursed fuel costs. If you pay for fuel that employees use for private journeys in a company car or van and the employee reimburses you at the appropriate AFR, the car/van fuel benefit in kind won’t apply. Also, where an employee pays for fuel used for business journeys in their company car or van, their employer can reimburse them at the AFR rate tax and NI free. Payments above the AFRs count as taxable earnings.