Petition · past parliament · HM Treasury

Urgently review Advisory Electricity Rate (AER) for fully electric company cars

Closed 267 signatures

What the petition asks

Since the energy price cap increase, domestic electricity costs ~28p/kWh. If a car’s efficiency is 2.8-4.0 miles/kWh, the cost per mile is 7p-10p. The average cost at a public charging point is 44.5p/kWh (~11p-16p per mile). HMRC’s AER is just 5p per mile. HMRC should urgently consider raising this.
This shortfall discourages use of fully electric company cars. The Government should urgently review the current AER. It should also commit to reviewing the AER quarterly in future, as they do for fossil fuels in the Advisory Fuel Rates, and ensure the AER is not based on the lowest available domestic overnight tariff. For example, it would be fairer if the AER were set at the mid-point between the average of the cost of charging on a domestic tariff and on public rapid charging points.

Timeline

6 Jun 2022 Petition opened for signatures
20 Dec 2022 Closed to new signatures

Key facts

Signatures 267
Status Closed
Department HM Treasury
Opened 6 Jun 2022
Closed 20 Dec 2022

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Source: the official petition page. Last checked 15 Jul 2026.