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Written question asked by Earl Attlee (Conservative) on Wednesday, 3 December 2025, in the House of Lords. It was due for an answer on Wednesday, 17 December 2025. It was answered by Lord Hendy of Richmond Hill (Labour) on Monday, 15 December 2025 on behalf of the Department for Transport.


Large Goods Vehicle Drivers: Tax Allowances

Question

To ask His Majesty's Government what is the tax-free overnight allowance for HGV drivers and when was it last uprated in line with inflation.

Answer

The agreed industry scale rate for lorry drivers’ overnight subsistence allowance is currently £34.90, or 75% of this figure (£26.20) where the driver uses a sleeper cab. These are the maximum amounts that can be paid free of Income Tax and National Insurance Contributions under the agreed industry scale rate.

There is no commitment to uplifting agreed industry scale rates in line with inflation. In order to seek an increase in the rate, haulage operators would need to provide evidence to His Majesty’s Revenue and Customs (HMRC) that drivers are incurring expenses that exceed the current benchmark rate.

Alternatively, employers can reimburse drivers for their actual travel costs incurred when staying away from home rather than pay the set benchmark scale rate.


Secondary information

Type
Written question
Reference
HL12602
Session
2024-26
Related items
Large Goods Vehicle Drivers: Tax Allowances
Monday, 22 December 2025
Written questions
House of Lords
Subjects
Large goods vehicle drivers Tax allowances
Link
View this Written question on www.parliament.uk