New Advisory Fuel Rates from 1 September

HMRC has announced new advisory fuel rates, effective from 1 September 2021 and introducing a number of changes.

For petrols and diesels, all three rates go up by at least a penny, with the rate for diesel engines over 2000cc going up 2p to 15ppm

For petrols, all three rates go up by a penny; reaching 12, 14 and 20ppm respectively.

For diesels, all three rates go up by at least a penny, with the rate for engines over 2000cc going up 2p to 15ppm.

For LPG-fuelled vehicles, the rates for engines of 1400cc or less and 1401cc to 2000cc go down by 1ppm while the rate for engines over 2000cc goes down by 2ppm.

All other rates stay the same.

The electric vehicle rate remains at 4ppm and, as before, hybrid cars are to be treated either as petrol or diesel vehicles.

The new tables are as follows (old rates in brackets):

Engine size Petrol – amount per mile LPG – amount per mile
1400cc or less 12 pence (11p) 7 pence (8p)
1401cc to 2000cc 14 pence (13p) 8 pence (9p)
Over 2000cc 20 pence (19p) 12 pence (14p)
Engine size Diesel – amount per mile
1600cc or less 10 pence (9p)
1601cc to 2000cc 12 pence (11p)
Over 2000cc 15 pence (12p)

The previous rates can be used for up to one month from the date the new rates apply.

The full table can be viewed here.

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Natalie Middleton

Natalie has worked as a fleet journalist for over 20 years, previously as assistant editor on the former Company Car magazine before joining Fleet World in 2006. Prior to this, she worked on a range of B2B titles, including Insurance Age and Insurance Day.