Overview
- Multiple outlets report the Autumn Budget could include a proposal to charge electric car owners 3p per mile, adding roughly £250 a year for an average driver.
- The Treasury acknowledges there is no EV equivalent to fuel duty and says it is working toward a fairer approach while backing the transition to electric vehicles.
- Reports suggest any scheme would begin after consultation, with a possible start in 2028, and details such as enforcement, final rates and treatment of hybrids remain undecided.
- Briefed designs describe drivers estimating annual mileage and making a payment on top of Vehicle Excise Duty, with top-ups if they exceed their estimate.
- Motoring and industry groups warn the levy could deter EV adoption, though supporters note petrol and diesel drivers typically pay about £600 a year in fuel duty; the government highlights £4bn in EV support including grants up to £3,750.