Annual Increases in Vehicle Benefit Charges for 2026/27

06/02/2026


As announced in the Autumn Budget 2025, the van benefit charge and the car and van fuel benefit charges will increase from 6 April 2026, in line with the Consumer Price Index.

The van benefit charge applies where an employer provides an employee with a company van and the employee uses it for private journeys. The benefit charge will increase from £4,020 to £4,170. A further benefit charge of £798 will apply where fuel is also provided, up from £769 in 2025/26. No taxable benefit arises in respect of zero-emissions vans.

The multiplier for the car fuel benefit charge will increase from £28,200 to £29,200. The applicable benefit charge is calculated using a percentage based on the car’s emissions.


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