For the 2026/27 tax year, the HMRC mileage rate for employees using their own electric car for qualifying business journeys is 55p per mile for the first 10,000 business miles and 25p per mile after that.
If you drive a company-provided fully electric car, different rules apply. From 1 June 2026, HMRC’s Advisory Electric Rates are 7p per mile for home charging and 15p per mile for public charging.
The important distinction is therefore who owns the vehicle. An employee’s own electric car falls under HMRC’s Approved Mileage Allowance Payments rules, while a company electric car normally uses the advisory electricity rates for reimbursement of business travel.
This guide explains the current 2026/27 electric car mileage rates, how the 55p rate works, the difference between personal and company EVs, how mixed home/public charging is handled, and what records should be kept.
What is the HMRC mileage rate for electric cars?
For the 2026/27 tax year, employees using their own electric car for qualifying business travel can use HMRC’s approved mileage rates:
55p per mile for the first 10,000 business miles
25p per mile for each qualifying business mile above 10,000
HMRC treats electric and hybrid cars as cars for Approved Mileage Allowance Payment purposes, so an employee does not receive a lower mileage allowance simply because the personally owned vehicle is electric.
These approved mileage rates are designed to contribute towards the overall costs of using the vehicle, rather than reimbursing electricity alone.
HMRC explicitly includes electric/hybrid cars and vans within the standard car/van category.
allows a higher rate where the actual electricity cost per mile is higher, and that cost can be evidenced.
Suppose an employee uses their own electric car for 8,000 qualifying business miles during the 2026/27 tax year.
8,000 × £0.55 = £4,400
The HMRC approved mileage amount would therefore be £4,400.
If the employee instead travelled 12,000 qualifying business miles:
First 10,000 miles:
10,000 × 55p = £5,500
Remaining 2,000 miles:
2,000 × 25p = £500
Total approved amount = £6,000
| Situation | HMRC rate |
|---|---|
| Own electric car — first 10,000 business miles | 55p per mile |
| Own electric car — over 10,000 business miles | 25p per mile |
| Company electric car — home charging | 7p per mile |
| Company electric car — public charging | 15p per mile |
If the electric car belongs to you personally, the normal HMRC car mileage allowance applies. If it is a company car, use the relevant company-car electricity reimbursement rules instead.
What are the HMRC business mileage rates?
For employees using their own vehicle for business, the current approved mileage rates are:
- Cars and vans: 45p per mile for the first 10,000 business miles, then 25p per mile
- Motorcycles: 24p per mile
- Bicycles: 20p per mile
These approved rates have remained in place from the 2011/12 tax year onwards.
For company cars, HMRC uses advisory rates instead. From 1 March 2026, the rates are:
- Petrol cars
- 1400cc or less: 12p per mile
- 1401cc to 2000cc: 14p per mile
- Over 2000cc: 22p per mile
- Diesel cars
- 1600cc or less: 12p per mile
- 1601cc to 2000cc: 13p per mile
- Over 2000cc: 18p per mile
- Fully electric cars
- Home charging: 7p per mile
- Public charging: 15p per mile
Hybrid cars are treated as either petrol or diesel cars for advisory fuel rate purposes. HMRC also allows employers to continue using the previous advisory rates for up to one month after new rates take effect.
How are mileage rates calculated?
HMRC reviews advisory fuel and electricity rates quarterly, with changes normally taking effect on:
- 1 March
- 1 June
- 1 September
- 1 December
That means company car reimbursement rates can change during the year, so it is worth checking the date of travel as well as the type of vehicle.
For electric cars, HMRC says the advisory electricity rate is based on data including electricity prices from the Department for Energy Security and Net Zero, the Office for National Statistics, vehicle electricity consumption data from the Department for Transport, and fleet sales data. The public charging rate also uses public charging price data from the Zapmap Price Index.
By contrast, the approved mileage rates for employees using their own cars are much more stable. HMRC’s 45p and 25p rates are fixed approved amounts rather than short-term electricity price trackers.
Can you still claim 45p per mile for an electric car?
Yes, if the electric car is your own vehicle.
HMRC does not reduce the approved mileage rate simply because the car is electric. If you use your own electric car for business travel, the same approved rates apply as they do for other cars: 45p per mile for the first 10,000 business miles and 25p per mile after that.
However, that is different from using a company electric car. In that case, employers may use HMRC’s advisory electricity rates, and employees who personally incur business electricity costs in a company car may claim tax relief based on the actual cost if they are not fully reimbursed. HMRC’s guidance is clear that company car claims are handled differently from claims for an employee’s own vehicle.
If an employer pays less than the approved amount for business mileage in an employee’s own vehicle, the employee may be able to claim Mileage Allowance Relief on the shortfall.
Why this matters for businesses
As more businesses move towards electric vehicles, mileage policies need to keep pace. In practice, that means making sure your team knows:
- whether the vehicle is personally owned or a company car
- which HMRC rate applies
- whether charging took place at home, in public, or both
- what records need to be kept to support the claim
For employers, clear mileage processes can help reduce errors, avoid overpayments and make reimbursement fairer. For employees, good records are essential if they want to claim tax relief where they have not been fully reimbursed. HMRC says mileage logs should include the reason for each journey and the start and end postcodes.
Conclusion
Electric car mileage claims are still straightforward once the basic rule is clear: your own electric car uses HMRC’s approved mileage rates, while a company electric car uses HMRC’s advisory electricity rates or actual evidenced costs.
As of 13 April 2026, the key figures are:
- Own electric car: 45p per mile for the first 10,000 business miles, then 25p
- Company electric car: 7p per mile for home charging and 15p per mile for public charging, from 1 March 2026
Because HMRC reviews advisory rates regularly, it is worth checking the latest guidance before processing mileage claims, especially for company cars.
