AMAP FAQs

The Approved Mileage Allowance Payment (AMAP) rate is an official tax-free allowance which is used to reimburse employees or volunteers for the use of vehicles they own or lease and use in the course of their duties. It is set by HM Treasury, enforced by HM Revenue and Customs (HMRC) and based on the overall cost of motoring (including fuel, insurance, equipment, repairs and depreciation).

The AMAP rate for cars from April 2026 is 55p per mile for the first 10,000 miles and 25p per mile thereafter. This can be topped up by 5p per mile per passenger.

Many volunteer car schemes use the AMAP rate as a benchmark to ensure their volunteer drivers are not left out of pocket. It can also be used by HMRC to determine whether an individual is judged to be ‘making a profit’ from volunteering. As long you do not exceed the AMAP rate, your volunteers do not have to report their volunteer expenses to HMRC.

The AMAP rate is advisory, not mandatory. Operators can choose to pay a higher (or lower) rate than the AMAP rate. However, if you exceed the AMAP rate while reimbursing your volunteers, they may need to complete a self-assessment tax return, which may have implications for their tax obligations or social security entitlements. This can be checked here.

You may also choose to provide in-kind benefits (e.g. training, volunteer celebrations) to reward and recognise your volunteer drivers beyond financial reimbursement.

Yes – on 21 May 2026, the Chancellor announced a new AMAP rate which replaces the outdated 2011 rate and applies to employees and volunteers.

The rate for cars and vans for the first 10,000 miles was raised by 10p from 45p to 55p. It remains 25p per mile for each mile thereafter. This can be topped up by 5p per mile per passenger. The new rate is backdated to April 2026.

However, analysis by the RAC Foundation suggests that the AMAP rate should now be at least 70p.

The AMAP rate is advisory, not mandatory. Each Community Transport operator can make their own decisions based on their own financial position, volunteers’ needs, and local circumstances.

An uplift to the AMAP rate gives organisations greater flexibility to do what is right for them, their volunteer drivers and their passengers. Some operators will choose to follow the new rate, if and when they can afford to do so, to support the retention and recruitment of volunteer drivers. Others will decide not to, perhaps to manage budgetary pressures or, where costs are passed onto passengers, to keep fares low.

Nonetheless, we recognise that this is a potential area of concern. That’s why CTA is calling for a ‘fully funded uplift’ to support implementation of the new AMAP rate. We believe that all grants and contracts from central, national and local government or transport authorities, their agencies, and independent funders should reflect the new AMAP rate and ensure voluntary sector organisations are resourced to implement it. Fair funding is essential. We’re calling for the Chancellor to deliver this at the earliest opportunity or in the next Budget.