Mileage Allowance (AMAP) – HMRC announces new higher rate

31st May 2026

The HMRC has announced on the 21st May 2026 a significant increase in the Approved Mileage Allowance Payment (AMAP) for cars and vans.  The rate will rise from 45 pm to 55p per mile for the first 10,000 business miles in the tax year 2026 to 2027.  This change is backdated to April 2026.  

Employers are advised to review claims made in April and May 2026 and top up any reimbursements made at the old rate of 45p per mile to the new rate of 55p per mile as soon as able.