The approved mileage rate for cars and vans rose from 45p to 55p per mile for the first 10,000 business miles on 6 April 2026, the first increase since 2011. Miles above 10,000 stay at 25p, motorcycles at 24p and bicycles at 20p. Enter your business miles to see what you can claim in 2026/27, whether you are self-employed or an employee, and what happens if your employer still reimburses at the old 45p rate.
Ordinary commuting between home and a permanent workplace does not count.
Ignored if you are self-employed. Many employers are still paying the old 45p rate in 2026/27.
Claim Mileage Allowance Relief through Self Assessment or HMRC's online P87 service. Relief is on the shortfall, not a cash refund of it: a basic-rate taxpayer gets back 20p per £1 of shortfall.