Mileage allowance calculator 2026/27

Work out what your business miles are worth at HMRC's 55p and 25p rates, whether you're an employee claiming relief or self-employed choosing between the flat rate and actual costs.

How the claim works

HMRC sets approved mileage rates for business journeys in your own vehicle. If you're employed and your employer pays less than the approved amount, you can claim tax relief on the gap. If you're self-employed, you can take the same flat rate per mile off your profit instead of adding up fuel, insurance and repairs, or claim the business share of your actual costs, whichever is better. For cars and vans, the first 10,000 business miles in the tax year are at the higher rate and the rest at 25p.

The car and van rate went up from 45p on 6 April 2026. For journeys in earlier tax years, 45p still applies, and you can claim relief back to 2022/23 until 5 April 2027.

What is the HMRC mileage rate for 2026/27?

For cars and vans, 55p a mile for the first 10,000 business miles in the tax year and 25p a mile after that. Motorcycles are 24p a mile and bicycles 20p a mile. The car and van rate was 45p before 6 April 2026.

Can I claim if my employer pays me less than 55p a mile?

Yes. You can claim Mileage Allowance Relief on the difference between the approved amount and what your employer paid. The relief is given at your rate of tax, so a basic-rate taxpayer gets 20% of the difference back.

How far back can I claim?

For the current tax year and the four before it. In 2026/27 that means back to 2022/23, and claims for 2022/23 close on 5 April 2027. Earlier years use the 45p car and van rate; the calculator switches when you pick the year.

How do I claim Mileage Allowance Relief?

If you fill in a Self Assessment return, on the return. Otherwise online or by post through GOV.UK's claim for tax relief on job expenses. The relief can't be more than the tax you paid that year.

What if my employer pays more than the approved rate?

The part above the approved amount counts as taxable income. The calculator shows that figure.

I use two cars. Does each get its own 10,000 miles?

No. For employees, the 10,000 miles at the higher rate are for all your cars and vans together in the tax year. Motorcycles and bicycles are worked out separately.

Can I claim for carrying a passenger?

Your employer can pay up to 5p a mile for each fellow employee you carry on the same business trip, tax-free. If they don't pay it, there's no relief to claim instead.

Can self-employed people use the same rates?

Yes, for cars, vans and motorcycles. Sole traders and partners using simplified expenses can claim the flat rate per business mile instead of working out actual running costs. Once you use it for a vehicle, you keep using it for as long as that vehicle's in the business, and you can't use it for a vehicle you've claimed capital allowances on. Bicycles aren't covered, so they go at actual cost.

Does commuting count as business mileage?

No. Your normal journey to a permanent workplace isn't business travel. Trips to a temporary workplace, to clients or between sites usually are.

What records do I need?

A log of each business journey: the date, the reason, and the start and end postcodes, with the miles. HMRC can ask to see it.

An estimate to help you plan, not financial or tax advice. It doesn't file or send anything to HMRC, and it can't know everything about your situation. Check your own position on GOV.UK or with an accountant.

Mileage rates are the same across the UK. If you pay Scottish income tax, choose your Scottish rate and the tax figures use it.