Currently reading: Call for government to revise business mileage rates for electric cars

Rocketing energy costs leave business drivers out of pocket as rate stagnates at five pence per mile

The fleet industry has called on the government to shake up its reimbursement rates for electric car drivers, as spiralling energy costs have left the majority out of pocket.

Advisory electric rates (AERs) were introduced in 2018 as a simple way to refund business mileage for electric vehicles drivers. They are the EV equivalent of advisory fuel rates (AFRs) for internal-combustion cars.

Initially four pence per mile, the AER rose to five pence in November 2021 after an industry campaign to make it more reflective of the true cost of charging, but this year’s rampant energy price rises have left it even further off the mark.

Analysis by Mina, which specialises in helping business with electric vehicle billing, claimed that in more than 100,000 of its recorded charge sessions, 79.1%

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