The Advisory Fuel Rates (AFRs) for company car drivers changed from the beginning of March 2025.
HMRC has made some minor changes to a few of the bandings that company car drivers can use to reclaim fuel for business use.
The new Advisory Fuel Rates (AFRs) enables repayment for fuel expenditure without incurring Company Fuel Tax or additional National Insurance.
For electric car drivers there was no change to the AER rates whichremain at 7p per mile.
Drivers of petrol or diesel hybrid vehicles should use the appropriate petrol or diesel banding.
New AFRs starting 01 March 2025
| Petrol (inc. hybrid): engine size (cc) | Advisory Fuel Rate |
| 1400cc or less | 12p (no change) |
| 1401cc to 2000cc | 15p (+ 1p) |
| Over 2000cc | 23p (no change) |
| Diesel (inc. hybrid): engine size (cc) | Advisory Fuel Rate |
| 1600cc or less | 11p (+ 1p) |
| 1601cc to 2000cc | 13p (no change) |
| Over 2000cc | 17p (- 1p) |
| Fully electric | Advisory Fuel Rate |
| All cars | 7p (no change) |
Advice and assistance on fuel management
For help with managing fuel costs for your fleet, talk to one of our experts on 01283 351200 or email sales@cbvc.co.uk.
