EV Drivers Face Pay-per-Mile Tax Starting £200 Annually in 2028
Starting April 2028, electric vehicle (EV) drivers will face a new pay-per-mile tax costing an average of £200 to £300 annually. The Autumn Budget announcement by Chancellor Rachel Reeves introduces this road pricing scheme for EVs and plug-in hybrids (PHEVs), which will apply on top of existing Vehicle Excise Duty (VED).Under the new system, EV drivers will be charged three pence per mile, while PHEV owners will pay half that rate. These costs are expected to rise annually in line with inflation as measured by the Consumer Price Index.The Office for Budget Responsibility predicts this tax could raise approximately £1.4 billion per year by 2029-30. However, critics argue it might hinder EV adoption and reduce the number of electric cars on UK roads from around four percent to a lower figur...