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Trade Reality Check

Van Cost Per Mile Calculator

Find out roughly what your van really costs for every business mile. Add your MPG, mileage and annual van costs to estimate your fuel cost, total running cost and how it compares with HMRC simplified mileage.

What fuel does your van use?

Insurance, tax, servicing, repairs, tyres, finance or lease etc. Do not include fuel. Enter the full amount you actually pay, including VAT where it is charged. If the van is also used privately, use the business-use share where appropriate.

Your van reality check

65p

estimated cost per business mile, using your figures and the latest fuel price available.

Fuel23.6p/mile
Other van costs41.7p/mile
Estimated total65.3p/mile
Estimated annual van cost
£7,836
£2,836 of that is estimated fuel cost and £5,000 is the other annual van cost you entered.
What that means on a job
Estimated van cost for a round trip, before your own driving time is included.
£6.5310-mile round trip
£13.0620-mile round trip
£26.1240-mile round trip
HMRC simplified-mileage comparison
HMRC effective rate50.0p/mile
Your estimated van cost65.3p/mile
£1,836/year above HMRC benchmarkAt 12,000 business miles, your estimated van cost is 15.3p/mile higher than the HMRC simplified-mileage benchmark.

Fuel price used: 181.97p/litre diesel, week ending 10 August 2026.
Source: DESNZ Weekly Road Fuel Prices. HMRC comparison uses the 2026–27 simplified-expenses mileage rates.

This is a simple business sense-check using your own figures and UK pump fuel prices, not accounting or tax advice. Fuel uses the UK pump price, so if you normally claim VAT back on some van costs, your real cost may be a little lower than this estimate.

A free tool from SmartTradie

How the calculator works

Enter your van’s MPG, annual business mileage and your other yearly van costs. The calculator uses the latest available UK fuel price to estimate your fuel cost per mile, then adds your other van costs to show an approximate cost per business mile and per year.

Why it is worth knowing

Fuel is only part of what a van costs to run. Insurance, tax, servicing, repairs, tyres and finance can make the real figure much higher. HMRC simplified mileage is a tax method, not an estimate of your actual running costs or a guide to what you should charge. If you have not yet chosen a method for this vehicle, you can compare the options with the HMRC simplified expenses checker. Once you use simplified mileage for a vehicle, you normally need to keep using it while that vehicle remains in the business.

This is a simple estimate using your own figures and the latest available UK fuel price, not accounting or tax advice.

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