If you drive an electric car for work, HMRC uses two different mileage systems depending on whether the vehicle is a company car (including salary sacrifice) or your own personal car used for business journeys.
This guide explains the current HMRC EV mileage rates for 2026, how they work, and how to claim correctly without creating a surprise tax bill.
What are the current HMRC EV mileage rates?
1) If you drive a company EV (including salary sacrifice): HMRC Advisory Rates
For company cars, HMRC publishes Advisory Fuel Rates (AFR). From 1 December 2025, HMRC introduced two EV advisory rates based on where the car is charged:
- 7p per mile for EVs charged at home
- 14p per mile for EVs charged on public chargers
These rates are reviewed quarterly, so you should always check the latest HMRC table before updating an expenses policy.
2) If you drive your own personal EV for business: AMAP rates
If you use your own car (EV, petrol, diesel or hybrid) for business mileage, HMRC’s approved rates are:
- 45p per mile for the first 10,000 business miles in a tax year
- 25p per mile for each business mile over 10,000
These are called Approved Mileage Allowance Payments (AMAP).
AFR vs AMAP: what’s the difference?
Advisory Fuel Rates (AFR)
AFR is mainly used when an employer reimburses business mileage in a company car, or when an employee repays the employer for private mileage where the employer paid for fuel/electricity. HMRC publishes these rates and updates them quarterly.
Approved Mileage Allowance Payments (AMAP)
AMAP applies when an employee uses their own personal vehicle for business journeys. It’s designed to be a simple, standard tax-free benchmark.
Salary sacrifice EVs and HMRC mileage: which rate applies?
HMRC generally treats salary sacrifice vehicles as company cars for tax purposes. In practice, many employers reimburse business mileage using the advisory EV rates (7p home / 14p public) rather than AMAP.
Important in 2026: public charging can cost materially more than home charging. If your employer reimburses only 7p while you’re mostly charging publicly, you may be out of pocket unless the policy allows the 14p public rate (or an evidenced “actual cost” method).
Can an employer set their own EV mileage rate?
Yes — employers can choose to reimburse at different rates, but:
- Paying more than HMRC’s advisory/approved benchmark may create a tax/NIC liability on the excess.
- Paying less may mean the employee can claim tax relief on the shortfall (subject to the normal rules).
Many businesses keep things simple by using HMRC benchmarks as their default expenses policy.
What counts as business mileage?
Business mileage is travel you do wholly and exclusively for work, such as:
- Visiting clients
- Travelling between temporary workplaces
- Driving between sites during the working day
Normal commuting (home to your permanent workplace) is not business mileage.
How to claim EV mileage correctly
If you’re an employee
You claim mileage from your employer, not from HMRC directly. Keep a log of:
- date
- start/end location
- purpose of trip
- miles travelled
If you’re self-employed
You claim mileage on your Self Assessment as an allowable expense, using the relevant method you’ve chosen (mileage basis vs actual costs).
HMRC EV Mileage FAQs
What is the HMRC mileage rate for electric company cars in 2026?
From 1 December 2025, HMRC’s advisory EV rates are 7p/mile for home charging and 14p/mile for public charging.
Are salary sacrifice cars treated as company cars for mileage?
In most cases, yes — salary sacrifice vehicles are treated as company cars, meaning employers typically use HMRC advisory rates rather than AMAP.
What is the HMRC mileage allowance for a personal EV used for work?
HMRC AMAP rates are 45p/mile for the first 10,000 business miles, then 25p/mile after that.
Do HMRC EV advisory mileage rates change?
Yes. HMRC reviews and updates advisory rates quarterly, so employers should check the current table before setting policy.
Can I claim EV charging costs separately instead of mileage?
Some employers reimburse actual electricity costs (with evidence) rather than mileage rates, but if they use HMRC advisory rates it’s usually simpler and avoids tax complexity. (Policy-dependent; mileage benchmarks are the HMRC default reference.)
Disclaimer
Electric Car Guide does not provide tax advice. This article is for informational purposes only and reflects HMRC guidance available at the time of writing. Tax rules can change, and you should speak to an accountant or tax adviser for advice specific to your circumstances.
John is the Editor and Spokesperson for Electric Car Guide.
With over 20 years of writing experience, he has written for titles such as City AM, FE News and NerdWallet.com, covering various automotive and personal finance topics.
John’s market commentary has been covered by the likes of The Express, The Independent, Yahoo Finance and The Evening Standard.
Mark Tubby is a qualified accountant from Steve Pye & Co Chartered Certified Accountants.
Mark has over 25 years of experience advising businesses on company tax legislation and is the Electric Car Guides contributor for all things tax.
