The new rates, which can be used by company car drivers to claim for business mileage, are:

Engine size              Petrol       Diesel      LPG

1400cc or less           13p           12p           9p

1401cc to 2000cc      15p           12p          10p

Over 2000cc              21p           15p           15p

Rates see a 1p rise for all fuel types in the small engine category compared to the previous rates. 

Mid-size diesels between 1401 and 2001cc also gain a 1p rise. However the rate for large-engined diesel vehicles drops 1p. Meanwhile the figure for larger LPG vehicles goes up by 1p.

The new rates are effective from 1 December 2010 until further notice. Employers may use either the previous or new current rates for the next month.

HMRC adds that 'Employers may therefore make or require supplementary payments if they so wish, but are under no obligation to do either.'