HMRC fixes the new Advisory Electricity Rates
Updated on
🚨 Breaking News for UK Fleets 🚨
HMRC has just corrected its mistake on the new Advisory Electricity Rates (AER) for EV company cars.
👉 From 1 September:
Home charging stays at 8 ppm
Public charging rises to 14 ppm (not 12 ppm as first announced)
Why it matters for fleet managers:
More accurate reimbursement for drivers using public chargers
Clearer separation between home vs public charging costs
Flexibility: employers can still pay more if costs are higher (e.g. ultra-fast charging)
This correction is a win for transparency and a reminder of how fast policies are shifting.
⚡ At EVDecisionCompass, we track every policy change that impacts fleet electrification. Insights like these are critical to keep your TCO models up to date.
Related reading
More fleet electrification analysis curated for this topic.
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Company car and employee-owned EV mileage sit under different HMRC frameworks. Use this scope test before setting a UK reimbursement rate.
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Read more - HMRC AER Update: 7p Home and 15p Public from September 2026
30 Aug 2026
HMRC's Advisory Electricity Rates from 1 September 2026 remain 7p per mile for home charging and 15p per mile for public charging, for fully electric company cars only.
Read more - HMRC AER Effective Dates: The Payroll Control for 1 June 2026
30 Aug 2026
HMRC's electric company-car rates did not change on 1 June 2026. Finance and Payroll still need a controlled effective-date decision.
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