Petrol, diesel and electric car drivers issued urgent warning amid new HMRC rules launching today

Felix Reeves

By Felix Reeves


Published: 01/12/2025

- 10:20

The new advisory fuel rates will be in place until March 1, 2026

Drivers are being warned of new rates from the HMRC, which could impact how much petrol, diesel and electric car drivers pay to travel.

From today, Monday, December 1, 2025, HM Revenue and Customs will begin charging certain drivers using new advisory fuel rates (AFRs).


The rates are amended four times per year, although they only apply to employees using a car through their company.

The rates are used when an employee needs to be reimbursed for business travel in their company car.

Alternatively, the mileage rates can be used when the company needs an employee to repay the cost of refuelling or recharging when the car is used for private travel.

Advisory fuel rates are amended at the start of the month in March, June, September and December, with HMRC usually publishing the rates around a week before the changes are introduced.

The new rates for December onwards will see only one change, namely the cost per mile for home EV chargers falling from 8p to 7p.

To help drivers adjust to the new prices being introduced today, GB News has collated all of the new advisory fuel rates.

HMRC letter, a petrol pump and an electric car charger

Drivers will see new prices introduced from today (December 1)

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GETTY/PA

Advisory fuel rates per mile from December 1, 2025

Petrol

Engines up to 1,400cc - Remains at 12p

Between 1,401cc and 2,000cc - Remains at 14p

Over 2,000cc - Remains at 22p

Diesel

Engines up to 1,600cc - Remains at 12p

Between 1,601cc and 2,000cc - Remains at 13p

Over 2,000cc - Remains at 18p

Electric

Home charger - Reduced from 8p to 7p

Public charger - Remains at 14p

Liquefied Petroleum Gas (LPG)

Engines up to 1,400cc - Remains at 11p

Between 1,401cc and 2,000cc - Remains at 13p

Over 2,000cc - Remains at 21p

Electric car charging station

Electric car owners have to deal with two different AFRs

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PA

The prices are calculated on a per-mile basis. Any rates which end in 0.5 are rounded down to the nearest whole penny.

Rates are taken from a range of data sources, with petrol and diesel prices taken from the Department for Energy Security and Net Zero (DESNZ).

Electric car AFRs are calculated via price data from DESNZ, the Office for National Statistics, car electrical consumption rates from the Department for Transport and annual car sales volumes to businesses.

Although liquefied petroleum gas vehicles are less common on UK roads, rates are still calculated based on data from the Automobile Association website.