Changes to Advisory Fuel Rates

fuel

If you are leasing a car from Intack Self Drive as part of a contract hire for your business for use as a company car then you will be glad to know that the amount of cash that you can claim back on your fuel will be increasing on average by about 2p per mile.

This is following the publication of a new advisory fuel rates (AFRs) from Her Majesty’s Revenue and Customs (HMRC). Businesses will use this new advisory fuel rate to repay drivers of their company cars for fuel which is used carrying out business related journeys and is set to take effect from Wednesday 1st June 2011.

The new advisory fuel rates are shown below with the old payment in brackets:

  • Petrol

1400cc or less 15p (14p)
1401cc to 2000cc 18p (16p)
Over 2000cc 26p (23p)

  • Diesel

1600cc or less 12p (13p)
1601cc to 2000cc 15p (13p)
Over 2000cc 18p (16p)

  • LPG

1400cc or less 11p (10p)
1401cc to 2000cc 13p (12p)
Over 2000cc 18p (17p)

Also from June we will now see the Advisory Fuel Rates reviewed on a quarterly basis and HMRC has withdrawn its commitment to change the rates if there is a variation of fuel prices by 5% or more.

For more information about our contract hire at Intack which can be specifically tailored to your individual needs then please contact us on 01254 970027 or email info@intack.co.uk.

1st June 2011, 16:53