Who is eligible for Mileage Allowance Relief (Approved Mileage Rates)?

Available across the whole UK (England, Scotland, Wales, and Northern Ireland).

What is the deadline for Mileage Allowance Relief (Approved Mileage Rates)?

This is a rolling scheme with no fixed deadline.

Tax ReliefUK-wide

Mileage Allowance Relief (Approved Mileage Rates)

HM Revenue & Customs

Description

Tax relief for employees who use their own car, van, motorcycle, or bike for business travel and are reimbursed less than HMRC's approved mileage rate (or not reimbursed at all). The self-employed can use the same pence-per-mile rates via 'simplified expenses' as an alternative to claiming actual vehicle running costs.

Amount

55p/mile (cars/vans, first 10,000 business miles — up from 45p from 6 April 2026), 25p/mile after 10,000 miles; 24p/mile (motorcycles); 20p/mile (bicycles)

Deadline

Rolling / no fixed deadline

Eligibility summary

Available across the whole UK (England, Scotland, Wales, and Northern Ireland).

Notes: Relief is given on the shortfall between what your employer actually pays and the approved rate, applied at your marginal Income Tax rate.
Rates note: Cars/vans: 55p/mile for the first 10,000 business miles/year, 25p/mile after (the 55p rate took effect 6 April 2026, up from 45p — the first increase since 2011, announced as fuel-price support; confirmed still in force as of August 2026). Motorcycles: 24p/mile (all miles). Bicycles: 20p/mile (all miles).
Requirement: You use your own vehicle for business travel (not ordinary commuting) and your employer pays less than the approved mileage rate, or nothing.

Want help with this application?

This one is usually simple enough to do yourself using the free official link below — but if you'd rather have help, we're building relationships with vetted professionals and can let you know if that becomes available.

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You can also do this yourself for free via the official source

How to apply

Claim online via the gov.uk P87 service, through Self Assessment, or by post, keeping a record of business mileage by vehicle type.

View official source

Last verified: 23 August 2026. See the footer disclaimer — this is general information, not financial or tax advice.