HMRC has confirmed new road fuel scale charges that will affect certain drivers, with rates in place from May 1, 2026, to April 30, 2027. The charges, which can reach up to £2,297 for VAT, are designed to account for VAT on fuel purchased by businesses but used for private, non-business journeys.
What are road fuel scale charges?
Road fuel scale charges are fixed amounts added to a VAT return. They allow businesses to reclaim all VAT on fuel without the need to keep detailed records of private mileage. The charges are based on the vehicle's CO2 emissions.
New rates for 2026/27
For vehicles emitting less than 120g of CO2 per kilometre, the VAT-inclusive consideration for a 12-month period is £657. The rates are split into categories at intervals of 5g/km, reaching 225g/km or more, which will be charged at £2,297.
The full list of charges for 2026/27 is as follows:
- 120g/km or less: £657
- 125g/km: £983
- 130g/km: £1,051
- 135g/km: £1,114
- 140g/km: £1,182
- 145g/km: £1,245
- 150g/km: £1,314
- 155g/km: £1,377
- 160g/km: £1,445
- 165g/km: £1,508
- 170g/km: £1,576
- 175g/km: £1,640
- 180g/km: £1,708
- 185g/km: £1,771
- 190g/km: £1,839
- 195g/km: £1,902
- 200g/km: £1,971
- 205g/km: £2,034
- 210g/km: £2,102
- 215g/km: £2,165
- 220g/km: £2,233
- 225g/km or more: £2,297
How to account for the charges
Drivers can account for the charges annually, quarterly, or monthly. For example, a low-emission vehicle (120g/km or less) would incur £657 for a 12-month period, £163 for a 3-month period, or £54 for a 1-month period. For high-emission vehicles (225g/km or more), the amounts are £2,297, £574, and £190 respectively.
HMRC has also provided guidance on CO2 band assignment based on engine size: vehicles with engine size ≤1400cc fall under the 140g/km band, 1401-2000cc under 175g/km, and >2000cc under the 225g/km or more band.
