HMRC's latest advisory fuel rates (AFR) for company car users will apply from today (1 March 2023).
The AFR for all petrol and diesel engine sizes have decreased by between 1p and 3p per mile compared to the rates introduced in December 2022. The rates for LPG vehicles have either decreased by 1p or stayed at the same levels.
Meanwhile, the advisory electricity rate (AER) for fully electric cars has risen from 8p to 9p per mile. Hybrid cars will be treated as either petrol or diesel cars for AFR purposes.
The previous rates can be used for up to one month from the date the new rates apply.
The AFR for March 2023 are as follows:
| Advisory fuel only mileage rates | ||
| Rates per mile | ||
| Engine size | Petrol | LPG |
| 1400cc or smaller | 13p | 10p |
| 1401cc to 2000cc | 15p | 11p |
| Over 2000cc | 23p | 17p |
| Engine size | Diesel |
| 1600cc or smaller | 13p |
| 1601cc to 2000cc | 15p |
| Over 2000cc | 20p |
The AFR will be updated next on 1 June 2023.
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