The Budget announces that from April 2028 electric and hybrid drivers will start paying a per-mile road charge, set at 3p for electric cars and 1.5p for plug-in hybrids, with rates rising yearly with inflation, while fuel duty’s 5p cut is extended until next September before increasing again.
The government expects the new charge to raise billions but admits the yield is uncertain and that it may reduce demand for electric vehicles, with critics warning it sends mixed signals about the shift to cleaner transport and could unfairly affect rural and low-income drivers.
Mileage will be checked through odometers during MOTs, raising concerns about increased “clocking”, and the plan has drawn strong opposition from motorists, industry groups, and EV owners who feel they are being penalised despite earlier encouragement to switch.
Mark Dolan interviews the co-founder of Climate UK Debate, Ben Pile.
Mark Dolan interviews
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