HMRC has released the new advisory fuel rates which take effect from 1 December 2009. The rates have previously been announced with one month’s warning and the option for employers to adopt early, but earlier this year it was announced that the additional month’s warning would no longer be provided, and that employers should adopt the revised rates immediately.

The new rates are :

The rates allow employers to provide fuel for business motoring in a company car, and exclude the employee from incurring a benefit in kind charge on the provision of free fuel for private motoring. They are recommended and not mandatory rates and are intended to permit employers to reimburse business motoring without the need to negotiate a dispensation.