Six key points from Autumn Budget 2026

That being said, there were points to pick out from a fleet perspective, both in terms of concrete announcements and plans for future developments.

We’ve highlighted some of the areas we feel are most interesting.

In recent years, there’s been an understandable trend for Autumn Budgets to support electric vehicles. However, this time there were some positives for petrol, diesel or hybrid vehicles.

The highlight was a confirmation that the rate for Approved Mileage Allowance Payments (AMAPs) would remain permanent at 55 pence. This follows the temporary increase from 45 pence announced back in May.

There was also help with fuel costs, as the temporary 5 pence cut in fuel duty was extended until at least 2027, whilst an increase in line with inflation was deferred.

The government announced another year of benefit-in-kind tax rates. For the 2030/31 tax year, these will rise by 1% for vehicles. This will take EVs to 10% and plug-in hybrids to 20% while the maximum for petrol and diesel vehicles will increase to 40%.

Whilst the 1% rise is relatively small, it provides another year of confirmed benefit-in-kind rates. This means there’s more certainty for those considering new salary sacrifice contracts this year or next.

For plant and machinery, which includes vans, there was an increase in first-year allowance for qualifying main rate expenditure. This rose from 40% to 50%, so it gives businesses more upfront tax relief to support investment.

However, many vans are purchased with 100% first-year allowances, so the wider impact of this change may be limited when it comes to fleets.

Whilst the Autumn Budget didn’t contain any changes for the zero-emission mandate, the importance of this mandate was reinforced. The consultation that closed last Friday was referenced and the government committed to responding by the end of 2026, with any changes it announces taking effect in 2027.

As this consultation covered areas such as annual targets and compliance flexibilities, it may be one to monitor, particularly as the industry has benefitted significantly from the mandate. It has helped drive EV choice, availability and more competitive pricing.

One big topic in EV charging is the huge difference in cost between home and public charging. The government recognised this when it announced a task force to explore ways to make domestic energy rates available through public chargers.

The two key groups to benefit are likely to be lower income households and people who are unable to have a home charger. However, many other people might be avoiding EVs because they are worried about their ability to charge effectively when they’re away from home and this could give them more confidence to make the switch.

The government has previously proposed the idea of introducing mileage-based eVED for electric vehicles that sits alongside the standard VED. It’s now said that this will be in next year’s Finance Bill with the intention of it coming into effect in 2028.

The rates will be 3 pence per mile for battery electric vehicles and 1.5 pence per mile for plug-in hybrids, with future years being increased in line with inflation. We don’t have the full implementation details yet, but as this is something that will affect vehicles being leased this year, it does need to be built into fleet plans. However, we do also think it’s worth remembering that eVED is still significantly less than the cost of fuel duty.

Whilst every Autumn Budget brings different announcements, one thing does stay the same: there are new challenges and new opportunities for fleets. This is why our recommendation remains unchanged. Don’t make rushed changes in reaction to these announcements. Instead work with your leasing company to review the potential impact on your fleet, so you can make effective plans for the future.

If you haven’t already tried one, or if it’s been a while since you last checked the numbers, consider a total cost of operation (TCO+) analysis. This can help you see the full picture for your fleet on everything from vehicle costs to fuel prices and tax changes.