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 >
28/05/2026
Record number of taxpayers file self assessment in April
A record 737,891 taxpayers filed their 2025/26 self assessment returns in April, according to figures from HMRC.
Late payment legislation is ‘historic’ moment
The UK government’s formal commitment to legislation to stamp out late payments is an historic moment, according to the Federation of Small Businesses (FSB).
UK growth forecast upgraded by IMF but risks remain
The International Monetary Fund (IMF) has upgraded its forecast for the UK's growth this year but warned the Iran war could hit the economy.
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.