Thank you for all the constituents who contacted me about mileages rates.

The Approved Mileage Allowance Payments (AMAPs) set by the Government are an integral part of supporting our dedicated workforce, ensuring that they are fairly reimbursed for their essential travel expenses while minimising administrative complexities.

The AMAP rates are designed to cover the diverse running costs that employees incur while using their personal vehicles for work-related journeys. These costs include fuel, servicing, and an often overlooked yet crucial aspect - depreciation. It is worth noting that depreciation represents the most substantial portion of the AMAP rate, making it a key factor in determining the overall reimbursement.

As of now, employees can claim up to 45p per mile for the first 10,000 miles and 25p per mile for subsequent miles. These thresholds aim to strike a balance, encompassing both fixed costs like insurance and vehicle excise duty (VED) and ongoing expenses such as fuel.

While the Government sets the AMAP rates as a benchmark, it is essential to recognise that employers are not bound by these rates. Instead, they have the flexibility to agree upon different reimbursement amounts that better align with their employees' specific circumstances. However, it is crucial to bear in mind that when payments exceed the relevant AMAP rate, the difference becomes subject to Income Tax and National Insurance charges.

All elements of taxation, including mileage rates, are continuously monitored and reviewed. Any proposed changes to mileage rates will be thoughtfully considered during the budget planning process.

Furthermore, I welcome that voluntary organisations can participate in the AMAP scheme, enabling them to reimburse their volunteer drivers fairly. This inclusion acknowledges the vital role these volunteers play in serving our community and recognises their efforts with equitable support.

On a broader note, I also want to express my appreciation for the Chancellor's decision to maintain fuel duty at current levels until March 2024. The £5 billion tax cut, equivalent to £100 per driver, will significantly ease the burden on hardworking individuals, especially during challenging times. This tax cut is achieved by continuing the 5p reduction in fuel duty, which was implemented last year, and cancelling the scheduled 11p increase in fuel duty.

Thank you again for all those who took the time to contact me.