Mileage claims for company car users

With the recent update on approved mileage rates and the the ever increasing cost of petrol/diesel, how are you approaching those who are purchasing fuel that is costing more than the reclaim amount? Are you reviewing your approach? Considering alternatives?

I dont believe this is a a short term issue and only going to get worse. HMRC's latest pennies increase isn't going to make a dent in the issue.

Comments (2)

Actual price per litre used by HMRC isn't the issue for us. Most of the local petrol stations are less than/equal to 145.9 per litre. The problem that we are finding is the stop/start of customer visits means that the MPG figure(s) used by HMRC are overestimated. This is what is impacting the mileage rate.

We are reviewing the situation at the moment to see how big the problem is (and how many people are impacted). It is likely that we will need to pay some form of compensation (probably quarterly) as a lump sum.

We have always stuck with the HMRC advisory fuel rates and told our colleagues that's just the way it is. You can always look at creating your own rates but you need to put a lot of time and effort in to substantiate the rates you pay if they are more than HMRC rates - not worth it in my view

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