Advisory Fuel Rates for Company Cars from 1 September 2020

03 September 2020

Company car Advisory Fuel rates that apply from 1 September 2020 have been published.

HMRC has issued details of the latest Advisory Fuel Rates (AFRs) for Company Cars. Rates applied from 1 September 2020.

For one month from the date of change, employers may use either the previous or new current rates, as they choose. Employers may therefore make or require supplementary payments if they so wish but are under no obligation to do either.

The new rates are below (previous rate in brackets where there is a change):

Engine size

Petrol

LPG

1400cc or less

10p

7p (6p)

1401cc to 2000cc

12p

8p

Over 2000cc

17p

12p (11p)

Engine size

Diesel

1600cc or less

8p

1601cc to 2000cc

10p (9p)

Over 2000cc

12p

Hybrid cars are treated as either petrol or diesel cars for this purpose.

The latest update to the guidance page also includes information on how rates are calculated where the mean miles per gallon (MPG)  were produced using the New European Driving Cycle (NEDC) or the Worldwide Harmonized Light Vehicle Test (WLTP).

 


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