HMRC mileage rates 2026-27: 55p per mile

From 6 April 2026, the HMRC approved mileage rate for cars and vans is 55p per mile for the first 10,000 business miles in the tax year, then 25p. Before that it was 45p per mile for the first 10,000 business miles in the tax year, then 25p.

Checked against GOV.UK on 1 October 2026. Official source

Who uses this rate

• Employees who use their own car or van for work. Employers can pay up to these rates tax-free as Approved Mileage Allowance Payments (AMAP).
• Self-employed people can use the same rates under simplified expenses instead of working out actual vehicle costs.

What your mileage log needs

Keep a record of every business journey: the date, where you started and finished, why you went and the business miles. HMRC can ask for it when you claim relief or when your employer's payments are checked.

Good to know

• The 10,000-mile threshold counts business miles in the tax year, which runs from 6 April to 5 April.
• If your employer pays less than the approved rate, you can claim the difference as Mileage Allowance Relief.
• Ordinary commuting to a permanent workplace doesn't count as business travel.

Rate history

Guides

• Can I claim mileage if my employer reimburses me?
• Commute or business trip: what counts as business mileage?

Rates in other countries