The Government has announced that Approved Mileage Allowance Payments (AMAPs) will increase from 40 pence to 45 pence per mile from April 6.

This is the first time that the rate has increased since 2002 and benefits those drivers who use their own vehicles for business journeys (the grey fleet).

The 45p rate applies to the first 10,000 miles with 25 pence per mile paid for every mile thereafter.