HMRC has introduced more advisory fuel re-charging rates for business drivers, including, since 1 September, two AER rates, for reimbursing home and on-the-road EV charging.
Drivers charging at home will see the rate rise from 7p to 8p per mile, while those using public chargers can now claim 12p per mile. The higher rate is based on an assumed cost of 51p per kWh, which seems rather low.
Guidance is still awaited on how to reimburse drivers who use both home and public charging, a common scenario for many EV users.
The ‘Domestic electricity cost per kilowatt-hour’ is the Department for Energy Security and Net Zero annually published figure, uprated with the latest estimate of electricity prices from the Office for National Statistics.
The ‘slow or fast public charge cost per kilowatt-hour’ comes from the Zapmap public charging price index monthly published figure for slow or fast chargers (charging speed less than 50 kilowatts), uprated with the latest estimate of electricity prices from the Office for National Statistics.
A higher amount than the advisory rates can be used as long as you can show that the fuel cost per mile is higher.
Hybrid cars are treated as either petrol or diesel cars for advisory fuel rates.
The current advisory fuel rates for petrol, LPG and diesel cars are shown in the following table.
You can use the previous rates for up to 1 month from the date any new rates apply.
