HMRC has changed the frequency at which it will review rate per mile figures for company cars, from twice per year to four times per year.

Now, any changes implemented will take effect once per quarter on 1 March, 1 June, 1 September and 1 December.

In addition, due to the increased frequency of review, HMRC will no longer consider changing the rates if fuel prices fluctuate by 5% from the published rates.

The advisory fuel rates for company cars shown below will take effect from 1 September 2011:

1400cc or less 15p 11p
1401cc to 2000cc 18p 12p
Over 2000cc 26p 18p

1600cc or less 12p
1601cc to 2000cc 15p
Over 2000cc 18p

Employers are advised that for one month from the date of change, they are permitted to use either the previous or new current rates. They may therefore make or require supplementary payments if they so wish, but are not obliged to do so.

For more information contact PAUL BRIDES on 0161 703 2500 or e-mail