Skip to main content

Departmental Car Allowances

Volume 489: debated on Friday 20 March 2009

To ask the Secretary of State for Work and Pensions what mileage allowance (a) his Department, (b) its executive agencies and (c) its non-departmental public bodies pays per mile to its staff. (263558)

[holding answer 13 March 2009]: There are a range of mileage allowances available to staff in DWP, its executive agencies and non-departmental public bodies (NDPBs) who undertake business travel. The rate of mileage allowance payable will depend on the type of vehicle being used and whether the vehicle is privately owned or provided by the Department. The rates are based on the rates set by HMRC under the Approved Mileage Allowance Payments.

Mileage rates paid by DWP and all associated NDPBs

£ per mile

Privately-owned vehicle

Higher standard rate (up to 6,000 miles)

0.40

Lower standard rate (over 6000 miles)

0.25

Vehicle provided by DWP

Private user scheme—petrol

0.15

Private user scheme—diesel

0.13

Private user scheme—LPG

0.08

Motor cycle

0.24

Passenger supplement (per passenger)

0.02

Pedal cycle

0.20

Candidates for civil service posts—motor cars

0.25

Candidates for civil service posts—motor cycles

0.24

In addition, DWP will only pay the higher standard rate to the first 1,000 miles unless the employee has an approved business case, in which case the higher standard rate is paid up to 6,000 miles.

The Pensions Protection Fund, Independent Living Fund and Health and Safety Executive pay at the above rates with the exception that the higher standard rate is paid for the first 10,000 miles.

Remploy pay the higher standard rate for the first 4,000 miles and the lower standard rate for any mileage above 4,000. Company car users receive £0.20 per mile regardless of total mileage.