Overview
- Multiple outlets cite a Telegraph leak that the 26 November Autumn Budget will include a 3p-per-mile charge on electric cars, which the Treasury has not formally confirmed.
- The proposal is expected to go to consultation with a potential 2028 start, using self-declared annual mileage paid alongside Vehicle Excise Duty with top-ups or rebates.
- Estimates suggest the average EV driver would pay roughly £240–£250 a year, with example costs of £12 London–Edinburgh, £5 Cambridge–Bristol and £2 Liverpool–Leeds.
- Officials say there is no EV equivalent to fuel duty and want a “fairer system,” as EVs began paying £195 VED in April and the fuel duty freeze is in place until March 2026.
- Motoring groups including the AA, SMMT and RAC Foundation warn the levy could deter EV adoption and disadvantage those reliant on public charging, while the RHA separately models a 5p fuel duty rise taking about £2bn a year from household budgets.