Overview
- Multiple outlets say electric car drivers would pay an additional 3p per mile on top of existing road taxes, with details expected on 26 November.
- Under the model described, owners would prepay based on estimated annual mileage with top-ups or carry-overs and no mass electronic tracking.
- Coverage estimates an average cost of about £250 a year by 2028, potentially affecting up to six million drivers and raising roughly £1.8 billion by 2031.
- Ministers are presenting the approach as fairer given petrol and diesel motorists pay about £600 a year in fuel duty, while the Treasury declines to discuss specifics ahead of the Budget.
- Motoring and industry groups warn the levy could slow EV uptake and urge steps such as cutting VAT on public charging and easing planned business rates on charging bays, as separate DfT measures seek to expand access to home-style charging for renters.