Advisory fuel rates for company cars

22 Jul 2019

New company car advisory fuel rates have been published which took effect from 1 June 2019. 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 June 2019 are:


Engine size                                      Petrol

1400cc or less                                  12p

1401cc - 2000cc                              15p

Over 2000cc                                   22p

Engine size                                       LPG

1400cc or less                                  8p

1401cc - 2000cc                              9p

Over 2000cc                                   14p

Engine size                                      Diesel

1600cc or less                                  10p

1601cc - 2000cc                              12p

Over 2000cc                                   14p


HMRC guidance states that the rates only apply when you either:

  • reimburse employees for business travel in their company cars or
  • require employees to repay the cost of fuel used for private travel.

You must not use these rates in any other circumstances.

The Advisory Electricity Rate for fully electric cars is 4 pence per mile. Electricity is not a fuel for car fuel benefit purposes.

If you would like to discuss your car policy, please contact us.