Drivers claiming AFR for business mileage reimbursement will claim less if they are driving a petrol or diesel car with an engine smaller than 2.0-litres from June 1.
HMRC announced on May 28 that the reimbursement rate for petrol and diesel engines up to 2,000 cc would be cut by a penny per mile. The rate for diesel engines larger than 2,000cc remains unchanged although any petrol engine larger than 1,400cc would see a reduced reimbursement rate.
All LPG payments remain unchanged.
The new rates will come into effect from June 1, 2013.
AFR payments (previous figure in brackets)
Engine size | Petrol | LPG |
1,400cc or less | 15p | 10p |
1,401-2,000cc | 17p (18p) | 12p |
Over 2,000cc | 25p (26p) | 18p |
Diesel | ||
1,600cc or less | 12p (13p) | |
1,601-2,000cc | 14p (15p) | |
Over 2,000cc | 18p |
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