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 December 2025 are:
Engine size
Petrol
1400cc or less
12p
1401cc- 2000cc
14p
Over 2000cc
22p
Diesel
1600cc or less
1601cc - 2000cc
13p
18p
LPG
11p
21p
HMRC guidance states that the rates only apply when you either:
You must not use these rates in any other circumstances.
The Advisory Electricity Rate for fully electric cars is below. Electricity is not a fuel for car fuel benefit purposes.
Advisory Electricity Rate
Home Charger
7p
Public Charger
If you would like to discuss your company car policy, please contact us.
READ MORE
02/12/2025
View all >
26/01/2026
Tax timebomb poses existential threat to high streets, government warned
Small businesses such as cafes, shops and hairdressers are facing three years of business rates misery with an average 52% hike in bills, analysis from the FSB has revealed.
Government must ramp up its growth strategy, says think tank
Despite falling behind its peers the UK economy could be on the brink of a turnaround so the government must up rather than run-down its growth strategy, says the Resolution Foundation.
Self assessment payments via the HMRC app up 65%
The number of people using the HMRC app to pay their self assessment tax bill has increased by 65% this tax year, according to the tax authority.
Sign up to keep in touch to receive our latest news and industry updates.
* *
Yes, I would like to receive email updates providing me with the latest finance news, advice guides and details of future events.