HMRC Mileage Claim Calculator (2026/27)
The approved mileage rate for cars rose from 45p to 55p per mile in 2026/27 — the first change since 2011, applied retrospectively from 6 April 2026. Many websites still show 45p. Enter your business miles to calculate your claim at the correct official rates.
How it works
Cars and vans: 55p per mile for the first 10,000 business miles in the tax year, then 25p per mile above 10,000. Motorcycles are 24p and bicycles 20p per mile with no threshold. If you carry a colleague on a business journey, you can add 5p per passenger per mile.
A worked example: enter 12,000 business miles by car and the approved amount is 10,000 × 55p + 2,000 × 25p = £5,500 + £500 = £6,000. If your employer reimbursed all 12,000 miles at the old 45p rate — £5,400 — the shortfall against the approved amount is £600, and that £600 difference is what you can claim Mileage Allowance Relief on.
If your employer reimburses you less than the approved amount, you can claim Mileage Allowance Relief on the difference from HMRC. If they pay you more than the approved amount, the excess is taxable.
The 10,000-mile threshold is counted per tax year, so it resets every 6 April — high-mileage drivers drop to 25p partway through each year and start again at 55p in the next. The threshold only applies to cars and vans: motorcycle (24p) and bicycle (20p) miles are paid at one flat rate however far you ride.
Business miles means travel in the course of work — visiting clients, travelling between sites, temporary workplaces. Ordinary commuting between home and your permanent workplace does not count.
Common mistakes: claiming the daily commute (never allowable); carrying on at 55p beyond 10,000 miles instead of dropping to 25p; forgetting the 5p per passenger per mile for colleagues carried on business journeys; and — this year especially — using the outdated 45p figure that many websites still display, when the 2026/27 rate is 55p and applies retrospectively from 6 April 2026.
What the result represents: the HMRC-approved amount for the miles you enter — the maximum an employer can reimburse tax-free, and the benchmark against which any relief claim is measured. It is not automatically money in your pocket: what you actually receive depends on what your employer pays and, where they pay less, on claiming the difference from HMRC with mileage records to back it up.
FAQ
What is the HMRC mileage rate for 2026/27?
For cars and vans it is 55p per mile for the first 10,000 business miles and 25p thereafter. The 55p figure is new for 2026/27 — the rate had been 45p since 2011, and the increase applies retrospectively from 6 April 2026. Motorcycles remain 24p and bicycles 20p.
The rate changed mid-year — what if I already claimed at 45p?
The increase to 55p was applied retrospectively to 6 April 2026, so journeys made earlier in the tax year qualify for the higher rate too. If you were reimbursed at 45p, you can claim Mileage Allowance Relief on the 10p difference through HMRC.
Can I claim mileage for commuting to work?
No. Ordinary commuting between your home and your permanent workplace is not business travel. You can claim for journeys to a temporary workplace, travel between work sites, and client visits. Self-employed people apply similar rules through simplified expenses.
What records do I need to keep for a mileage claim?
Keep a log of each business journey: date, start and end points, purpose, and miles driven. HMRC can ask for evidence, and a contemporaneous log is the strongest support. Claims can be backdated up to four tax years if you missed relief you were entitled to.
How much can I claim for 12,000 business miles?
£6,000 by car or van: the first 10,000 miles at 55p (£5,500) plus the remaining 2,000 at 25p (£500). The blended rate falls the further you drive past the threshold, which is why entering your true annual total matters — applying 55p to all 12,000 miles would overstate the approved amount by £600.
Does the 10,000-mile threshold reset each year?
Yes — it applies to business miles within each tax year, so on 6 April the count returns to zero and the 55p rate starts again. Someone driving 12,000 business miles every year therefore claims £6,000 each year, not a declining amount. Only car and van miles are affected; motorcycles (24p) and bicycles (20p) have no threshold at all.
What are the rates for motorcycles and bicycles?
24p per mile for motorcycles and 20p per mile for bicycles, with no 10,000-mile threshold — the rate stays flat for every business mile. Cyclists are often surprised they can claim at all, but the approved mileage scheme covers them, and the 5p per passenger per mile addition is also available when you carry a colleague on a business journey.
My employer pays more than 55p a mile — is that a problem?
The excess above the approved amount is taxable. Reimbursement up to 55p (then 25p past 10,000 miles) is tax-free; anything beyond it counts as income and goes through payroll accordingly. Employers who kept paying a generous flat rate above the approved figures are effectively giving a small taxable top-up rather than a pure expense repayment.