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Do you still get 45p a mile for an electric car?

Yes—if you use your own electric car for business travel in the UK, HMRC’s Approved Mileage Allowance Payments (AMAP) still allow 45p per mile for the first 10,000 business miles in a tax year and 25p per mile thereafter. This applies to cars and vans regardless of fuel type, including EVs. If you drive a company car, different rules apply: employers should use HMRC’s Advisory Electricity Rate (AER), which is reviewed quarterly.

What the 45p rate covers

The AMAP system is designed to fairly reimburse employees and the self‑employed for the whole cost of running their own vehicle for business journeys—energy, insurance, servicing, tyres, depreciation, and more—without needing to track actual costs. For electric cars, AMAP works exactly the same as for petrol or diesel cars.

  • 45p per mile for the first 10,000 business miles in a tax year (cars and vans).
  • 25p per mile for business miles above 10,000 in the same tax year.
  • Applies to privately owned vehicles used for business travel (not commuting).
  • Employers can pay up to these rates tax‑free; amounts above are taxable/NICable.
  • If paid less than AMAP, you can claim tax relief on the shortfall.

Because AMAP is a single, all‑inclusive mileage rate, you cannot also claim separately for charging costs or other running expenses when using this method.

When the 45p rate does not apply

There are common scenarios where the AMAP rate is not the right benchmark. Knowing the difference helps you avoid under‑ or over‑claiming.

  • Company cars: Use HMRC’s Advisory Electricity Rate (AER) for EVs, set quarterly. Employers can reimburse business miles at the current AER without creating a benefit in kind.
  • Reimbursing actual electricity: For company cars, employers may reimburse electricity at a rate higher than AER if supported by accurate records of business energy cost; otherwise, amounts above AER can be taxable.
  • Self‑employed using actual costs: If you choose the “actual costs” method, you can’t also use the simplified 45p/25p mileage rates for that vehicle.
  • Commuting: Travel between home and a regular workplace is not business mileage and does not qualify.

If your situation falls into one of these categories, check the relevant HMRC guidance for the correct reimbursement or relief method before claiming.

How to claim if your employer pays less

If your employer reimburses below the AMAP rates for your private EV used on business, you can claim Mileage Allowance Relief (MAR) on the difference to reduce your tax bill.

  1. Calculate your allowable amount: business miles × 45p (first 10,000) or 25p (thereafter).
  2. Subtract what your employer actually paid.
  3. Claim the difference as tax relief via a P87 form (if up to £2,500) or Self Assessment (if more).
  4. Keep records of dates, destinations, and miles; retain them for at least 22 months (employees) or 5 years (Self Assessment).

You receive tax relief at your marginal rate (e.g., 20%, 40%), not a cash refund of the per‑mile shortfall itself.

Related rates and rules

Several other HMRC rates and rules often sit alongside AMAP and may apply depending on your vehicle and employment status.

  • Advisory Electricity Rate (AER) for company EVs: Set quarterly; employers should use the current HMRC rate for tax‑free reimbursement of business miles. Check HMRC’s “Advisory fuel rates” page for the latest figure.
  • Other AMAP rates: Motorcycles 24p/mile; bicycles 20p/mile (no mileage threshold step‑down).
  • Tax year basis: AMAP thresholds reset each tax year (6 April to 5 April).
  • No double‑claiming: If you use AMAP, you cannot also claim separate EV charging or capital allowances for the same miles/vehicle.
  • Stability of rates: The 45p/25p car AMAP has been unchanged for years, but HMRC can review; always verify current guidance if policy changes are announced.

These complementary rules help ensure you pick the correct method for your car type and employment arrangement and avoid unexpected tax charges.

Current status and where to check

As of the 2024/25 tax year, the AMAP rates remain 45p/25p for cars and vans, and they apply to electric cars. For company EVs, the AER is reviewed quarterly; consult HMRC’s latest advisory rates for the exact pence‑per‑mile figure before processing expenses or payroll.

Summary

You do still get 45p a mile for an electric car—if it’s your own vehicle used for business travel—dropping to 25p after 10,000 miles in the tax year. Company cars are different: use HMRC’s quarterly Advisory Electricity Rate for EVs. If your employer pays less than AMAP for your private EV, you can claim tax relief on the difference, provided you keep clear mileage records and apply via P87 or Self Assessment.

What electric car gets 400 miles per charge?

Several electric cars can achieve 400 miles or more on a single charge, including the Lucid Air Grand Touring, which boasts the longest range at over 500 miles, and other models like the Mercedes-Benz EQS Saloon, Chevrolet Silverado EV, Rivian R1S, and Tesla Model S. The available range varies by model and configuration, so it’s important to check the specific EPA-estimated range for the trim level you are interested in.
 
Examples of electric cars with over 400 miles of range:

  • Lucid Air: Opens in new tabThe Grand Touring model offers the longest range, exceeding 500 miles, according to Coltura. 
  • Chevrolet Silverado EV: Opens in new tabWith the right configuration, this electric pickup truck can achieve over 400 miles of range. 
  • Rivian R1S/R1T: Opens in new tabThese SUVs and pickup trucks can reach the 400-mile mark in their long-range configurations. 
  • Tesla Model S: Opens in new tabThe luxury sedan offers a 400+ mile range in its specific all-wheel-drive version. 
  • Mercedes-Benz EQS: Opens in new tabThe EQS saloon has a high range, with some models exceeding 400 miles, according to U.S. News & World Report. 

Factors influencing range: 

  • Configuration: Different trim levels and battery pack options can significantly affect a vehicle’s total range.
  • Official Ratings: Range figures are typically EPA estimates, so they can vary slightly.

How much does it cost per mile for an electric car?

The cost to drive an electric car varies significantly, but generally falls between $0.03 and $0.12 per mile, with average costs around $0.05 per mile, though this is highly dependent on local electricity rates, vehicle efficiency, and the charging method. For example, an EV getting 3 miles per kWh with 10-cent electricity costs about 3.3 cents per mile, while a less efficient EV at a public DC fast charger (40 cents/kWh) could cost 13.3 cents per mile.
 
Factors influencing cost per mile

  • Electricity Rates: The price you pay per kilowatt-hour (kWh) is the biggest factor. This varies by state, time of day, and whether you’re charging at home (cheaper) or at a public station (often more expensive). 
  • Vehicle Efficiency (MPGe): Different EVs have different energy efficiency, measured in miles per kilowatt-hour (miles/kWh). A car getting 4 miles/kWh is more efficient and costs less per mile to charge than one getting 2.5 miles/kWh. 
  • Charging Method: Home charging is typically the most affordable, while DC fast charging at public stations can be significantly more expensive. 
  • Location: Costs vary regionally, with some areas having higher electricity prices, making the cost per mile higher. 

How to calculate your cost per mile

  1. Find your car’s efficiency: Determine how many miles your electric car travels per kWh. 
  2. Find your electricity rate: Look at your monthly utility bill to find the cost per kWh. You may need to average your rates over the month, as some utilities have tiered pricing or time-of-use rates. 
  3. Calculate cost per mile:
    • Step 1: Find kWh needed per mile = 1 ÷ (miles/kWh) 
    • Step 2: Calculate cost per mile = (kWh needed per mile) x (cost per kWh) 

Example 

  • Car: 3 miles/kWh
  • Electricity Rate: $0.10/kWh
  • Cost Per Mile: (1 ÷ 3) x $0.10 = $0.033 per mile

Compared to gas cars, this is significantly cheaper than the average gas car cost, which is often around $0.14 per mile.

Is it still 45p per mile?

The basic rules as of 2025/26 say you can claim back:
45p per mile for the first 10,000 miles you travel for work in a year. After that, the rate drops to 25p.

Do electric cars get mileage reimbursement?

The 2025 IRS mileage rate of 70 cents applies equally to both electric and gas-powered vehicles, but EVs offer unique advantages. While the rate accounts for fuel, maintenance, and depreciation, EV drivers often see higher profit margins since electricity costs less than gas and EVs typically require less maintenance.

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