Civil Service Mileage Rates 2026: Everything You Need to Know

The Irish civil service mileage rates are the standard rates used to reimburse employees for using their personal vehicle for business travel. Most private sector employers in Ireland also use these rates. Here is a complete guide to how they work in 2026.

The Three-Tier System

Unlike a simple flat rate, Irish mileage rates use a declining three-tier system based on your cumulative business kilometres in a calendar year:

• Tier 1 (0 - 1,500 km): The highest rate. Your first 1,500 business kilometres each year attract the best reimbursement.
• Tier 2 (1,501 - 5,500 km): A reduced rate for the next 4,000 km. Typically about 45-50% of the Tier 1 rate.
• Tier 3 (5,501 - 25,000 km): The lowest rate for high-mileage drivers. About 25% of the Tier 1 rate.

Rates by Engine Size

Band-Crossing Example

Suppose you drive a 1,501cc+ car and have already driven 1,400 business km this year. You then make a 200 km business trip. Here is how it is calculated:

• First 100 km (1,400 to 1,500): 100 x 51.80c = \u20ac51.80 (Tier 1)
• Next 100 km (1,500 to 1,600): 100 x 26.76c = \u20ac26.76 (Tier 2)
• Total claim: \u20ac78.56

This band-crossing calculation is one of the most commonly misunderstood aspects of Irish mileage rates. Many employees and even payroll departments get this wrong by applying a single flat rate to the entire trip.

Electric Vehicles

Electric vehicles are treated as equivalent to the 1,201-1,500cc engine band. This means EV drivers receive the middle rate tier, regardless of the vehicle\u2019s actual power output.

Bicycles

Employees who use a bicycle for business travel can claim a flat rate of 8 cent per kilometre, with no tier structure.