Drivers are being urged to take note of new HMRC advisory fuel rates (AFRs) coming into force today, December 1, 2025. These updated rates may affect how much petrol, diesel and electric car users pay when travelling for work.
AFRs are reviewed every quarter and apply only to employees who use a company car. They’re used either to reimburse staff for business mileage or to work out how much an employee owes their employer when the car is used for private trips.
HMRC usually releases the new figures about a week before they go live, updating them each March, June, September and December.
The only change this quarter is for electric vehicles: the cost per mile when charging at home has dropped from 8p to 7p.
Below are the updated AFRs now in effect:
Advisory fuel rates per mile from December 1, 2025
Petrol
- Up to 1,400cc – 12p (no change)
- 1,401cc to 2,000cc – 14p (no change)
- Over 2,000cc – 22p (no change)
Diesel
- Up to 1,600cc – 12p (no change)
- 1,601cc to 2,000cc – 13p (no change)
- Over 2,000cc – 18p (no change)
Electric
- Home charging – 7p (down from 8p)
- Public charging – 14p (no change)
LPG
- Up to 1,400cc – 11p (no change)
- 1,401cc to 2,000cc – 13p (no change)
- Over 2,000cc – 21p (no change)
AFRs are calculated per mile, and any figure ending in 0.5p is rounded down.
Petrol and diesel rates come from Department for Energy Security and Net Zero data. Electric vehicle rates draw on DESNZ and ONS price data, vehicle energy consumption figures from the Department for Transport and business car sales volumes. LPG rates are based on data from the AA.
