If you’re just starting out as a self-employed courier driver, managing costs can feel like a full-time job on its own. One of the best ways to keep your fuel spending under control is using a fuel card.
These cards are more than just a payment method, they can help simplify admin, support your cash flow, and make VAT reclaim much easier.
In this guide, we’ll explain how fuel cards work, what to watch out for, and how to choose the right one for your courier business.
What we’ll cover
What are fuel cards and how do they work?
A fuel card is a payment card that’s used exclusively to buy fuel. Instead of paying with cash or your personal debit card, you use your fuel card at participating petrol stations and get billed later.
It’s widely used in courier fleets, but even solo drivers benefit from the admin support it offers. For owner-drivers, it’s an easy way to keep fuel spend separate from your personal money.
Most providers offer online portals or mobile apps where you can check transactions, view invoices, and track usage. These features can really help when it’s time to update your books or run reports using courier accounting software.
The actual payment doesn’t come out immediately. You’ll receive a weekly or monthly invoice showing every transaction. Then you pay the provider directly, often by direct debit.
How fuel pricing works with fuel cards
Fuel pricing can be confusing at first, especially when you’re comparing multiple fuel cards. But once you understand how the pricing works, you’ll find it easier to compare offers.
Pump price vs fixed price
Some cards charge the same price you see at the pump. These are usually simpler to understand and don’t require pricing emails or updates.
Others use fixed weekly pricing. Your provider sets a price per litre each week, and you pay that rate no matter which station you use (within the provider’s network). It can be cheaper, but only if the weekly rate is lower than average pump prices in your area.
Fixed pricing is ideal for longer-distance drivers or those with regular routes, where fuel costs can add up quickly, and you don’t want to worry about fuel price surges.
Discounts and surcharges
Many business fuel card providers advertise discounts, but those deals often apply only at specific fuel brands or volume tiers.
For example, you might get 2–3p off per litre if you hit a certain monthly usage, or only when filling up at partner stations. It’s also common to see surcharges at non-network stations.
How pricing updates are shared
If you’ve got a fixed price card, the provider usually sends you an email each week with the updated rate. Some providers offer real-time access through their apps or portals.
This lets you plan your refuels around the best pricing. It’s especially useful if you’re trying to budget each week or want to avoid filling up when prices are higher than usual.
Typical costs and what to expect
While fuel cards can save you money and time, there are some standard costs you’ll need to factor in.
Here’s what to look out for:
- Card fees: Many providers charge a flat monthly or annual fee (e.g. £1.50–£2.00 per card).
- Transaction fees: Some cards charge a small amount each time you fill up.
- Network fees: If you fill up at a station outside the agreed network, you might face a small penalty or higher fuel rate.
- Optional extras: Services like courier vehicle tracking, carbon reporting or alerts often come at a small extra cost.
The best way to compare cards is to look at your monthly fuel usage and work out which charges will apply based on your routes.
Benefits of using a fuel card for your courier business
For new courier van drivers, handling paperwork and expenses can be a bit overwhelming. A fuel card can reduce admin stress and give you a clearer view of your running costs.
Here’s how:
- One invoice: Instead of juggling dozens of receipts, you get one clear invoice every week or month.
- Simpler VAT returns: Most providers supply HMRC-compliant invoices with courier VAT included, ready to upload into your accounting software.
- Better cash flow: Many fuel credit cards give you up to 30 days to pay, helping you bridge the gap while waiting for client payments.
- Budget control: You can set limits, monitor fuel usage, and block cards if needed.
- Time saved: You won’t need to collect receipts or do manual logs anymore.
Let’s say you fill up three times a week across different regions. With a fuel card, that’s three less receipts to track and one simple payment to make. Over a year, that adds up to hours saved.
Are there any restrictions?
Not all fuel cards work the same way, so it’s worth reading the fine print. Here are some common limits to be aware of:
- Limited networks: If you regularly drive in rural areas, make sure your card is accepted at stations along your routes.
- Minimum spend rules: Some providers require a monthly minimum spend to avoid service fees.
- Purchase limits: Most cards only cover fuel, AdBlue or lubricants – not snacks, toll charges or repairs.
If you’re applying as a one-person business, choose a card designed for smaller operators. Not every fleet fuel card will suit a solo driver.
Choosing the right fuel card for your courier work
There’s no single “best” card. It depends on how and where you work.
Here’s what to compare:
- Network size: Can you use the card at stations along your delivery routes?
- Fuel type: Some cards include access to EV charging networks, ideal if you’re using or switching to electric.
- Pricing model: Do you prefer the consistency of fixed pricing or the flexibility of pump rates?
- Fees: Are there hidden costs for admin, transactions or network access?
- Online tools: Does the provider offer reports, alerts or route mapping?
Some providers even let you customise your card with driver names or number plates. That’s handy if you have a transport manager looking after more than one vehicle in your courier fleet.
How to apply for a fuel card
Applying for a fuel card is usually straightforward and done online.
You’ll need:
- A business name or UTR number (if you’re a sole trader)
- Contact details and delivery address
- An estimated fuel usage per month
Most providers run a quick credit check, especially for fuel credit card options. If you’re just starting out, a prepaid card might be easier to get approved for.
Payment options often include weekly or monthly direct debit. Once approved, your cards are sent out by post—usually within 3–5 working days.
Common myths about fuel cards
| Myth | Fact |
| “Fuel cards are only for big companies.” | Many providers offer fuel cards specifically for owner-drivers and small businesses. |
| “You’re locked into a long contract.” | Most providers offer flexible monthly terms with no long-term commitment. |
| “They’re only for diesel vans.” | There are also electric fuel cards and hybrid options that include charging. |
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Fuel card FAQs
Do I need a business to get a fuel card?
Yes, most providers only offer business fuel cards to registered companies or self-employed drivers. You don’t need to be VAT-registered, but you will need a UTR number or business name.
If you’re looking into self-employed courier driver jobs, setting up as a sole trader is often the first step.
Can I use my fuel card across the UK?
It depends on the provider. Some cards are tied to a single brand, while others offer access to thousands of locations, including supermarkets and independents.
Always check the station map before signing up.
What’s the difference between fuel cards and fleet fuel cards?
Fleet fuel cards are built for multi-vehicle operations. They offer advanced controls like driver tracking, fuel analytics and multi-user access. For a solo driver, these features may be unnecessary.
But if you’re growing and taking on more drivers, switching to a fleet fuel card might make sense down the line.
Can I use a fuel card for electric charging?
Some modern electric fuel cards offer access to EV charging networks as well as standard fuel stations. If you’re driving a hybrid or electric vehicle, check whether this is included.
Are fuel card payments tracked for tax purposes?
Yes. Most fuel card invoices are formatted to meet HMRC requirements. This makes them easy to upload into your accounting tool, especially at year-end. That also means fewer lost receipts, and fewer headaches when sorting out your return.
