Why mileage costs matter for NHS workers
NHS staff often use their own cars to visit patients, travel between hospitals or attend training sessions. While they may receive mileage payments from their trust, the rate is often below HMRC’s approved level. That means many NHS workers are entitled to claim tax relief on the shortfall.
What HMRC mileage rates are
The approved rates are 45p per mile for the first 10,000 miles in a tax year and 25p per mile after that. If you are paid less than these rates, you can claim the difference as a tax rebate.
NHS mileage payments and the shortfall
Some NHS trusts pay around 25p per mile. If you drive 5,000 miles in a year, the shortfall compared to HMRC’s 45p rate is 20p per mile. That is £1,000 of mileage underpaid. At a 20 percent tax rate, you could claim £200 back.
How much you could get back
Over four years, an NHS worker driving 5,000 miles annually at 25p per mile could reclaim £800. For staff who cover more ground, the refund could reach well over £1,000.
How to claim your mileage rebate
Keep a mileage log showing your journeys. Then calculate the gap between what your trust paid and the HMRC rate. You can submit a P87 claim to HMRC or use TaxBax to handle the process quickly.
Why use TaxBax
We know how confusing the rules can be. TaxBax calculates your claim, prepares your paperwork and submits it to HMRC on your behalf.
Check your NHS mileage refund with TaxBax today.