F The Hours

Mileage guide

Track every business mile, apply the right HMRC rate, and claim the full allowable deduction without inviting a dispute.

This is a general guide, not tax advice. If you operate through a limited company, lease a vehicle, or your situation is otherwise unusual, speak to a qualified accountant before claiming.

HMRC simplified expense rates, 2026/27

VehicleFirst 10,000 business milesAfter 10,000 milesNotes
Car or van55p a mile25p a mileThe first 10,000 business miles per tax year, then 25p a mile. Before 6 April 2026 the higher rate was 45p.
Motorcycle24p a mile24p a mileFlat rate, no threshold.
Bicycle20p a mile20p a mileFlat rate, no threshold.

The five steps

  1. 01

    Pick a method and stick with it

    For each vehicle you can claim simplified expenses, the HMRC mileage rates above, or the actual running costs (fuel, insurance, MOT, repairs, depreciation) apportioned to business use. Once you choose simplified expenses for a vehicle you stay on that method for as long as you own it.

  2. 02

    Log every business journey as it happens

    A business journey is travel for work: visiting a client, attending a networking event, driving between sites. It is not your daily commute to a regular workplace. Log the journey the same day. Reconstructing miles months later is the biggest cause of HMRC disputes.

  3. 03

    Record the four required fields

    For each trip: the date, the start and end locations (postcodes are best), the purpose, and the business miles. HMRC can ask to see this evidence for up to six years after the relevant tax year.

  4. 04

    Total your annual business miles

    At the end of the tax year, 6 April to 5 April, add up the business miles per vehicle. The first 10,000 miles per vehicle qualify for the higher rate; everything above counts at the lower rate.

  5. 05

    Apply the rate and claim

    Multiply miles by the rate to get the deductible amount. Enter it under car, van and travel expenses, box 12 on the SA103S, or in your company accounts. Keep the mileage log with your records.

What counts as business mileage

Counts as business mileage

  • Driving to a client meeting
  • Travelling between two work appointments on the same day
  • Going to a temporary workplace, one you attend for less than 24 months
  • Networking events and conferences relevant to your trade
  • Picking up business supplies and returning to base
  • Site visits, if you do field work

Does not count

  • Home to your regular workplace, even once a week
  • Going to get lunch during the working day
  • Personal errands added to a business trip (claim the work portion only)
  • The school run, even if you carry on to a client afterwards
  • Family days out. Discussing work with a passenger does not make the journey a business trip

Common pitfalls

  • Estimating miles at year end instead of logging each trip. HMRC sees this immediately.
  • Claiming the home-to-office commute as business mileage. It is not, even when you are self-employed.
  • Switching between simplified expenses and the actual-cost method for the same vehicle. You cannot.
  • Not keeping the underlying log. The figure on your return is meaningless without evidence.
  • Claiming mileage for a vehicle that is also claimed as a capital allowance. You cannot do both.
F The Hours logs each business journey, applies the HMRC approved rates including the 10,000-mile threshold per vehicle, and feeds the year's total into the tax estimate and the car, van and travel box of your Self Assessment figures, so no miles are lost to a missed log or a year-end estimate. See what you get