Drivers claiming AFR for business mileage reimbursement will claim less if they are driving a petrol or diesel car with an engine smaller than 2.0-litres from June 1.

HMRC announced on May 28 that the reimbursement rate for petrol and diesel engines up to 2,000 cc would be cut by a penny per mile. The rate for diesel engines larger than 2,000cc remains unchanged although any petrol engine larger than 1,400cc would see a reduced reimbursement rate.

All LPG payments remain unchanged.

The new rates will come into effect from June 1, 2013.

AFR payments (previous figure in brackets)

Engine size Petrol LPG
1,400cc or less 15p 10p
1,401-2,000cc 17p (18p) 12p
Over 2,000cc 25p (26p) 18p
     
  Diesel  
1,600cc or less 12p (13p)  
1,601-2,000cc 14p (15p)  
Over 2,000cc 18p