Tax for delivery drivers: Uber Eats, Deliveroo and Just Eat (2026/27)
How tax works for self-employed delivery riders and drivers in the UK: registering with HMRC, the 55p mileage rate, expenses you can claim, what to set aside and how app earnings are reported.
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Are you employed or self-employed?
The big delivery apps treat riders and drivers as self-employed. That means:
- No tax is taken off what the app pays you.
- You report your earnings on a Self Assessment tax return.
- You can claim expenses to reduce the profit you pay tax on.
Some courier and agency roles are on PAYE instead. Check your contract: if you get payslips with tax deducted, you are employed for that work.
When you need to tell HMRC
If you earn more than £1,000 from delivery work in a tax year, register for Self Assessment by 5 October after the tax year ends. From 6 April 2027 the point at which you need to tell HMRC rises to £3,000.
Delivery apps are also covered by HMRC's platform reporting rules, so HMRC may already see how much you were paid.
Expenses you can claim
You pay tax on your profit, not on everything the app pays you.
Mileage: the simple way
If you use a car or van, you can claim a flat rate for each business mile instead of working out real running costs.
| Vehicle | Rate per business mile |
|---|---|
| Car or van, first 10,000 miles | 55p (from 6 April 2026) |
| Car or van, after 10,000 miles | 25p (35p from 6 April 2027) |
| Motorcycle | 24p |
Business miles are miles driven for deliveries, including travelling between jobs. Keep a mileage log, or use a tracking app. If you use the flat rate, you cannot also claim fuel, insurance, servicing or the cost of the vehicle.
Other expenses
- Phone costs, for the business share of your bill
- Insulated delivery bags and other kit
- Bike repairs, helmets and lights, if you ride a bicycle
- Parking (but not fines)
- Delivery app fees or equipment deposits
Worked example
You earn £30,000 from a job and £8,000 a year delivering food in your car. You drive 6,000 business miles.
- Mileage claim: 6,000 × 55p = £3,300
- Taxable profit: £8,000 − £3,300 = £4,700
- Income tax at 20%: £940
- Class 4 National Insurance: £0, because your profit is under £12,570
Without the mileage claim you would pay tax on the full £8,000. Tracking miles saved £660 here.
How much to set aside
A simple rule: put aside 20% of your profit as a basic rate taxpayer, or 40% if your total income is over £50,270. If you deliver full time, add 6% for Class 4 National Insurance on profit above £12,570.
Making Tax Digital
If your delivery income plus any rental income goes over £30,000 in 2025/26, you need to use Making Tax Digital software and send quarterly updates from April 2027. That falls to £20,000 a year later.
Free toolMaking Tax Digital checkerFind out if and when you need MTD software and quarterly updates for your side income or rent.Common questions
Do Deliveroo riders pay tax?
Yes, on profit over the £1,000 trading allowance each tax year. Deliveroo does not take off tax, so riders report earnings through Self Assessment.
Can I claim fuel and mileage?
Not both. Either claim the flat mileage rate, which covers fuel and running costs, or claim your actual vehicle costs. Most part-time drivers find the mileage rate simpler and better.
What if I have not told HMRC about delivery income?
Register for Self Assessment as soon as possible. Telling HMRC yourself usually leads to lower penalties than being found through platform reporting.
This is general information, not personal tax or financial advice. Tax rules change and depend on your circumstances, so check GOV.UK or speak to an accountant before acting.