
"Whilst we acknowledge the Treasury is losing fuel duty revenue as drivers go electric, the Government has to tread carefully unless their actions slow down the transition to EVs. The Zev mandate for 28% of new car sales to be zero emissions this year will not be met as sales are running at just 22%. We need to see the detail of this proposal to ascertain whether these new taxes will be equitable or a poll tax on wheels."
"This is yet another example of mixed messaging from the Government. Drivers are being encouraged to go electric, then hit with the threat of new taxes - you can't drive the EV transition with one foot on the accelerator and the other on the brake. This adds extra cost for EV drivers who can't charge at home and already pay more per mile on public chargers than many petrol drivers. It also penalises those who switched in good faith, based on promised savings."
A 3p-per-mile charge for electric vehicles could be introduced in the Autumn Budget on 26 November and may be rolled out in 2028 after consultation. The charge is estimated to add about £250 per year for typical EV drivers. Critics describe the measure as a potential 'poll tax on wheels' and warn it could undermine the EV transition, particularly affecting drivers without home charging and those who switched expecting lower running costs. Zero-emission vehicle sales are currently below mandate targets, and there are concerns a distance charge could slow take-up and raise equity issues.
Read at London Business News | Londonlovesbusiness.com
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