Use of fuel by private pleasure craft in Northern Ireland

As of 1 October 2021, private pleasure craft in Northern Ireland, with one fuel tank (for both propulsion and non-propulsion), cannot use red diesel unless it was put into a fuel tank either in:

• Northern Ireland, before 1 October 2021
• a jurisdiction where using red diesel for propulsion is still legal, such as Great Britain (England, Scotland and Wales), the Channel Islands and the Isle of Man

For example, you can refuel your private pleasure craft with red diesel in Great Britain, then travel to Northern Ireland with the red diesel already in your fuel tank.

If you travel to Northern Ireland having refuelled with marked diesel elsewhere, you’re advised to keep receipts or other documents (such as logbooks) to show HMRC where and when you’ve refuelled.

If your private pleasure craft in Northern Ireland (including houseboats) has separate tanks for propulsion and non-propulsion uses, you may continue to use red diesel in your non-propulsion fuel tank after 1 October 2021.

If you’re a fuel supplier in Northern Ireland and supply white diesel for private pleasure craft with one fuel tank, you can participate in a new HMRC scheme. The scheme will allow you to deduct (at the point of sale) an amount equal to the duty rebate on 40% of the total volume of white diesel purchased. The duty rebate is the difference in duty between the white diesel you’ve supplied and the lower, rebated rate for red diesel. When you’ve worked out the duty reduction, you can reclaim it from HMRC.

Find out more about the reform of red diesel and other rebated fuels entitlement.