Overview
- Multiple outlets report Chancellor Rachel Reeves is expected to announce a distance‑based levy for electric cars on 26 November, set at about 3p per mile and averaging roughly £250 a year.
- A government spokesperson said there is no equivalent to fuel duty for EVs and described the goal as a fairer system for all drivers, noting £4 billion in support for the transition.
- Reports say the scheme would require drivers to estimate annual mileage and pay alongside VED, with top‑ups if they exceed the estimate and carry‑over if they drive less.
- Coverage indicates the plan would be consulted on before implementation targeted for 2028, with details still to be confirmed in the Budget.
- Industry and motoring groups, including the AA and SMMT, warn the charge could slow EV adoption and urge measures such as cutting the cost of public charging, while separate reporting suggests the fuel duty freeze could also be revisited with RHA data pointing to household cost pressures.