Advisory Electric Rate: Home vs Public Charging (7p and 15p)

From 1 September 2026, HMRC’s advisory electric rate for a fully electric company car is 7p a mile for home charging and 15p a mile for public charging. If the car is charged in both places, you can split the mileage between the two rates, as long as the split is fair and reasonable.

What is the HMRC electric car mileage rate for a company car?

There are two rates, not one. The advisory fuel rates guidance gives the figures for fully electric cars from 1 September 2026.

Charging	Advisory rate
Home	7p a mile
Public	15p a mile

The rates have been the same since March 2026: HMRC lists 7p and 15p for 1 March to 31 May, for 1 June to 31 August, and again from 1 September. Unlike the petrol and diesel rates, they did not move in the autumn.

These are advisory rates for company cars. They sit alongside the petrol and diesel figures on the same HMRC page, which allows the advisory rates for reimbursing business travel in a company car and for employees repaying private fuel. The method for the petrol and diesel rates is in how advisory fuel rates are calculated.

How does HMRC set the electric rate?

HMRC multiplies the cost of a unit of electricity by the number of miles a typical electric car does on it. The guidance says the rates use “electrical efficiency miles per kilowatt-hour (weighted by car sales)” together with electricity price data from the Department for Energy Security and Net Zero, the Office for National Statistics and the Department for Transport.

HMRC’s workings for the September 2026 rates use 3.59 miles per kWh, with 24.47p per kWh for home charging and 54.00p per kWh for public charging. The public figure comes from the Zapmap index for chargers under 50 kW.

Charging	Price per kWh	Miles per kWh	Calculated	Published rate
Home	24.47p	3.59	6.8p	7p
Public	54.00p	3.59	15.0p	15p

Public charging costs more than twice as much per mile because the price per unit is more than twice as high. The public price in HMRC’s workings is for chargers under 50 kW, so it is an index figure, not what any one driver pays.

Can I split home and public charging?

Yes. HMRC’s guidance says: “For journeys where a company car is charged at both public and residential locations, you can apportion the mileage based on how much charging happens at each place. The apportionment calculation should be fair and reasonable.”

HMRC does not set a ratio, so the method is yours to define and defend. A sensible approach is to base it on the driver’s own charging records:

1. Take the kWh charged at home and the kWh charged in public over the period, from the home charger app, the public charging statements or both.
2. Work out the share of each: if 7,500 kWh went in at home and 2,500 kWh in public, the split is 75% and 25%.
3. Apply those shares to the business miles for the period.
4. Keep the records with the claim.

Here is an illustration with made-up figures. A driver covers 10,000 business miles, charging 80% of the energy at home and 20% in public. The reimbursement is 8,000 miles at 7p (£560) plus 2,000 miles at 15p (£300), a total of £860. At the public rate for every mile it would be £1,500, so the split matters.

Whichever method you choose, write it into the company car policy so every driver is treated the same.

Is the electric rate the same as the 55p mileage allowance?

No, they apply to different situations. The advisory rates cover company cars. If an employee drives their own car on business, the approved mileage rates apply: HMRC’s business travel mileage rules give 55p a mile for the first 10,000 business miles from 6 April 2026 and 25p after that. HMRC lists one rate for cars and vans.

A company electric car on the advisory rate costs the employer pennies per business mile, compared with 55p a mile when an employee uses their own vehicle. The comparison is set out in advisory fuel rates vs mileage allowance.

What does a driver’s charging cost against the rate?

It depends on their tariff, so check it. HMRC’s home figure assumes 24.47p per kWh. A driver on a cheaper overnight tariff is paid more than the electricity costs them, and one on a dearer tariff is paid less. The rate is an average built from one electricity price, not a measure of each driver’s bill.

Frequently Asked Questions

What is the HMRC advisory electric rate?

From 1 September 2026 it is 7p a mile for home charging and 15p a mile for public charging. It applies to fully electric company cars. The rates have been 7p and 15p since 1 March 2026.

Can I reimburse electric company car mileage at one rate?

HMRC publishes one rate for home and one for public charging. If the car is charged in both places you can apportion the mileage, and the calculation should be fair and reasonable. Paying 15p for every mile would overpay a driver who charges mostly at home, at the rates HMRC publishes.

How are the advisory electric rates worked out?

HMRC uses an average efficiency for electric cars, weighted by sales, and a price for electricity. For the September 2026 rates the workings use 3.59 miles per kWh, 24.47p per kWh for home charging and 54.00p per kWh for public charging. Divide the price by the miles per kWh and you get 6.8p and 15.0p, rounded to 7p and 15p.

Do the electric rates apply to a car the employee owns?

No. The advisory rates are for company cars only, and HMRC says they must not be used in any other circumstances. An employee’s own car, electric or not, falls under the approved mileage rates of 55p and 25p.

Do hybrids use the electric rate?

No. HMRC treats hybrid cars as either petrol or diesel cars for advisory fuel rates. Only fully electric cars use the 7p and 15p rates.

Cut your fleet’s fuel bill

Check what each of your cars costs per mile with the advisory fuel rates tool, and compare it to the mileage rates tool for staff using their own vehicles. If your fleet is mixed, the electric cars are the cheap part of the picture and the diesel vans are where the money goes.

For those vans, a speed cap reduces fuel use. The Department for Transport’s fuel consumption curves (TAG data book v2.03, May 2026, published on GOV.UK) show a petrol van using 16.1% less fuel per mile at 60 mph than at 70 mph. For a diesel van the curves are valid up to 68 mph, so the comparison there is 68 to 60 mph, which is 14.5%. How much that saves across a fleet depends on the share of miles you currently drive above the cap.

AutoKontrol has made speed limiters for vans, cars, HGVs and buses in Britain since 1985, and we come to you to fit them. To see what that could mean for your fleet, book a free consultation or get a quote.