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Mileage Allowances

Asked by Melanie OnnLabourTreasuryTabled Answered 10 September 2025UIN 74404

The question

To ask the Chancellor of the Exchequer, what recent assessment her Department has made of the adequacy of the Approved Mileage Allowance Payments rate; and whether she plans to update that rate.

Answered by Dan Tomlinson

Approved Mileage Allowance Payments (AMAPs) are used by employers to reimburse an employee’s expenses for business mileage in their private vehicle. These rates are also used by self-employed drivers to claim tax relief on business mileage (simplified motoring expenses). In considering potential changes to the AMAP/simplified motoring expenses rates, the Government would need to balance support for individuals with the responsible management of public finances which fund our essential public services.

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