Pay-Per-Mile EV Charge Sparks Debate as 40% Call it ‘Fair’

UPDATE: A new poll reveals that 40% of drivers believe the upcoming pay-per-mile charge for Electric Vehicles (EVs) and hybrids, set to launch in 2028, is “fair.” However, a significant 33% of respondents warn that the timing could hinder the shift to EVs just as adoption is gaining momentum.

The charge, announced in the recent Budget, has split public opinion. While many argue that EV drivers should contribute to road maintenance costs, others express concern over its potential impact on consumer confidence. Almost 25% of those surveyed deem the new charge unfair, highlighting that EVs already contribute via Vehicle Excise Duty (VED) and VAT.

Steve Walker, head of digital content at Auto Express, stated: “Our survey underlines the mixed messages that government has been broadcasting to consumers on electric cars.” He emphasized that while some form of contributor tax was inevitable as fuel duty revenues decline, the timing of this announcement raises serious questions.

Walker elaborated, “Buying your first electric car is a big step, and consumers want to feel confident in their decisions. The announcement of the eVED pay-per-mile tax just months after the Electric Car Grant adds to the complexity consumers face.”

In the Budget, the Chancellor confirmed that fuel duty will remain frozen until September 2026. However, after that date, the 5p cut implemented in 2022 will be reversed in a staggered approach, with increases starting in April 2027 in line with the Retail Prices Index (RPI).

The Auto Express poll indicates that while many motorists appreciate the temporary freeze, there are widespread concerns about future fuel price hikes. Walker noted, “The continued freeze on fuel duty will be welcomed, but it’s only a temporary respite. Rising fuel costs could push drivers toward more efficient hybrids and full EVs, but we must ensure that car ownership remains accessible.”

This announcement comes at a critical time for the EV market as consumers grapple with a confusing array of costs and incentives. The government’s approach will be pivotal in shaping the future of electric vehicle adoption.

As the debate intensifies, attention will turn to how these proposed measures will affect consumer behavior in the automotive market. With mounting pressures on fuel prices and the ongoing transition to greener technologies, the stakes couldn’t be higher for potential EV buyers.

Stay tuned for more updates as this story develops, and consider how these changes might impact your next vehicle purchase.