HMRC Mileage Rates Calculator UK 2026

Calculate your mileage claim for business travel using the official HMRC approved rates for 2026/27. Covers car (55p/25p), motorcycle (24p), bicycle (20p), and passenger allowances. See your tax relief at each rate.

HMRC's approved mileage allowance payment (AMAP) rate for cars is 55p per mile for the first 10,000 business miles in a tax year, then 25p per mile thereafter. If your employer pays less than these rates — or nothing at all — you can claim the difference as tax relief through your self-assessment return or form P87.

The first-10,000 car rate rose from 45p to 55p on 6 April 2026, the first change since 2011/12 and the end of a long-running complaint from motoring organisations that the rate had not kept pace with fuel costs. If you are claiming for 2025/26 or any earlier year, use 45p. Motorcycles still attract 24p per mile and bicycles 20p per mile, with no reduction after 10,000 miles. You can also claim 5p per mile for each passenger you carry on the same business journey, provided they are travelling for business purposes.

HMRC processed 740,000 mileage-related tax relief claims via form P87 in 2022/23 (HMRC Employment Income Statistics, 2024). This calculator applies the correct AMAP rates to your business miles and shows the tax relief you can claim at your marginal rate.

How to calculate your mileage claim

  1. Enter the number of business miles driven this tax year by vehicle type
  2. Add any mileage payments already received from your employer
  3. Select your income tax rate to calculate the relief value
  4. See your total claim amount and the tax saving at your marginal rate

Written by the CalcStack team

Figures for the 2026/27 UK tax yearlast verified Sources: GOV.UK business travel mileage, HMRC travel, mileage and fuel allowances

Additional 5p per mile per passenger on business journeys

2026/27 HMRC approved rates

Car/van: 55p (first 10k), 25p (above)
Motorcycle: 24p all miles
Bicycle: 20p all miles

Frequently asked questions

What are the HMRC mileage rates for 2026/27?▾
The approved HMRC mileage rates for 2026/27 are: cars and vans at 55p per mile for the first 10,000 business miles and 25p per mile thereafter, motorcycles at 24p per mile for all business miles, and bicycles at 20p per mile for all business miles. An additional 5p per mile applies for each passenger carried on business journeys in a car. The car first-10,000 rate rose from 45p to 55p on 6 April 2026 — the first change since 2011/12. If you are claiming for 2025/26 or earlier, use 45p. The 25p, 24p, 20p and 5p rates were left alone.
What qualifies as a business mile?▾
Business miles include travel between workplaces, travel to temporary workplaces (if you go there for less than 24 months), travel to client sites, and travel to training courses. Your normal daily commute from home to your permanent workplace does NOT count as business mileage.
Can I claim mileage for commuting?▾
No. Your regular commute between home and your permanent workplace is not an allowable business journey. However, if you work from home as your main workplace and travel to a client site or office, that journey may qualify. Temporary workplace journeys (less than 24 months) are also claimable.
How do I claim mileage on my tax return?▾
If you are self-employed, claim mileage on your self-assessment tax return in the business expenses section. If you are employed and your employer does not reimburse your mileage (or reimburses less than the approved rate), you can claim tax relief through form P87 or your self-assessment return.
Can I claim actual car costs instead of mileage?▾
If you are self-employed, you can choose between the flat-rate mileage allowance or actual costs (fuel, insurance, repairs, depreciation) for the business proportion of your vehicle use. Once you choose a method for a vehicle, you must stick with it for that vehicle. Employees can only use the approved mileage rates.
What records do I need to keep for mileage claims?▾
You should keep a mileage log recording: the date of each journey, the start and end locations, the purpose of the journey, and the distance in miles. HMRC can ask for these records up to 6 years after the tax year. A simple spreadsheet or mileage tracking app is sufficient.
Do electric cars get a different mileage rate?▾
No. HMRC applies the same approved mileage rates to all cars regardless of fuel type. Electric, hybrid, petrol, and diesel cars all receive 55p per mile for the first 10,000 miles and 25p per mile thereafter. This has been a point of debate as electric cars cost less per mile to run.
Can I claim mileage for my bicycle?▾
Yes. If you use your bicycle for business journeys, you can claim 20p per mile. This applies to all business cycling miles with no upper limit. The same qualifying rules apply as for car journeys — commuting does not count, but travel to temporary workplaces and client sites does.
What is the passenger rate for mileage?▾
If you carry a passenger who is also travelling on business for the same employer, you can claim an additional 5p per mile for each passenger. That rate is unchanged for 2026/27. For example, if you drive 100 business miles with two colleagues, you can claim the normal mileage rate plus 5p times 100 times 2, which is £10 extra.
How much tax relief will I get on mileage?▾
Tax relief on mileage depends on your marginal tax rate. If you are a basic rate taxpayer (20%), you get back 20% of your total mileage claim. For example, 10,000 business miles in a car for 2026/27 is a £5,500 claim at 55p a mile, which gives £1,100 back at 20%. Higher rate taxpayers (40%) would get £2,200 back on the same claim.

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