What expenses can an HGV driver claim on their UK taxes in 2026/27?

Full answer

HGV drivers -- whether employed or self-employed -- incur significant work-related costs. The tax treatment differs depending on employment status. Employed HGV drivers -- flat-rate expenses HMRC agrees flat-rate deductions with trade unions and professional bodies for industries where claiming actual expenses is impractical. For HGV and lorry drivers, HMRC's agreed flat-rate allowance covers tools, overalls and small equipment. Confirm the current figure directly with HMRC or your union, as the exact amounts for short-haul vs long-haul routes are subject to renegotiation. Subsistence -- overnight allowances HMRC publishes benchmark rates for overnight subsistence when employees must stay away from home for work. The domestic overnight allowance is GBP 34.90 per night, which an employer can pay tax-free. If the employer does not pay this allowance, an employed driver can claim the actual amount spent on meals and accommodation, up to the benchmark, without receipts. Other allowable expenses for employed drivers -- DVLA driver licence renewal fee (where the employee must maintain the licence for their job) -- Driver Certificate of Professional Competence (DCPC) training fees (if the employee funds it personally and the employer does not reimburse) -- Professional body subscriptions relevant to driving -- Protective clothing not provided by the employer -- Union subscription fees (40% relief for some occupations) Vehicle costs for employees Employed drivers generally cannot claim mileage or vehicle running costs if they drive a company vehicle -- the employer provides the vehicle and HMRC treats this as part of the employment package (potentially a benefit in kind for private use). Self-employed owner-drivers Self-employed HGV operators deduct all genuine business expenses against revenue: -- Fuel and AdBlue -- Truck purchase (capital allowances: 6% writing-down allowance if over 130g/km CO2; annual investment allowance for first year) -- Servicing, repairs and tyres -- Road tax, MOT, and operator licence -- Insurance (goods in transit and employer liability if subcontracting) -- Tolls, bridge charges, and parking -- Accountancy and bookkeeping fees -- Approved Mileage Allowance Payment (AMAP): self-employed drivers using their own vehicle for business can claim 45p/mile for the first 10,000 business miles and 25p/mile above that instead of actual running costs VAT registration Self-employed drivers with turnover above GBP 90,000 must register for VAT. Most haulage is standard-rated at 20%. Registered drivers can reclaim VAT on fuel, repairs, and other business costs.

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