Delivery Driver

Everything Deliveroo, Uber Eats, and Amazon Flex drivers need to know about UK tax.

Allowable Expenses

• Mileage — Claim 45p per mile for the first 10,000 business miles, then 25p per mile. This covers fuel, wear and maintenance — keep a detailed mileage log.
• Thermal Bags & Equipment — Insulated delivery bags, phone mounts, and bike accessories used for deliveries.
• Phone & Data — The business-use proportion of your mobile phone contract and data plan used to receive and navigate orders.
• Bicycle or Vehicle Servicing — Maintenance, repairs, and tyre costs on the vehicle or bicycle used for deliveries — claim the business proportion.
• Insurance — Hire and reward (courier) insurance, which is required to deliver food or parcels for payment and is fully deductible.
• Platform Fees — Any fees or commission deducted by the platform (Deliveroo, Uber Eats) from your earnings are an allowable deduction.

Tax Tips

• Keep a mileage log for every delivery run — apps like Driversnote or MileIQ make this easy and the savings are significant.
• Deliveroo, Uber Eats, and Amazon Flex treat you as self-employed — you must register with HMRC and file a Self Assessment tax return.
• If you use a personal vehicle for deliveries, you'll need specific hire and reward insurance — standard personal car insurance will not cover commercial deliveries.
• If you earn under £12,570 total income you may pay no income tax, but you should still register and file a return.

Frequently Asked Questions

How do I calculate my mileage deduction?

Use HMRC's approved mileage rate: 45p per mile for the first 10,000 business miles in the tax year, then 25p per mile above that. Keep a detailed mileage log showing the date, destination, and purpose of every journey.

Do platforms like Deliveroo deduct tax from my pay?

No. Deliveroo, Uber Eats, Amazon Flex, and similar platforms treat you as self-employed and pay you gross (without deducting income tax or National Insurance). You are responsible for declaring your income and paying tax via Self Assessment.

What insurance do I need for delivery work?

Standard car or moped insurance does not cover commercial delivery work. You need hire and reward insurance, which specifically covers carrying goods or passengers for payment. The cost is fully deductible as a business expense.

Can I claim the cost of an e-bike or bicycle used for deliveries?

Yes. A bicycle purchased and used for delivery work can be claimed via the Annual Investment Allowance (AIA) for the business-use proportion. Cycling mileage can also be claimed at HMRC's approved rate of 20p per mile for bicycles, or you can claim actual costs — whichever is more beneficial.