UK to charge electric vehicles 3p per mile from April 2028 under new road tax
By Eve
The UK government will introduce a distance based road tax in April 2028, charging full battery electric vehicles 3p per mile and hybrids 1.5p per mile. HMRC estimates the measure will affect around 5.6 million vehicles in the 2028/29 financial year, with average EV drivers covering 10,000 miles annually facing an extra £300 charge. The eVED scheme, announced by Chancellor Rachel Reeves in 2025 and now under formal consultation, aims to replace declining fuel duty revenue as drivers shift from petrol and diesel to electric vehicles.
Why it matters
The per mile charge may influence total cost of ownership calculations for fleet operators and affect demand forecasts for public charging infrastructure, particularly on high mileage routes. Charge point operators should monitor whether the tax differential between EVs and hybrids shifts vehicle adoption patterns and usage behaviour at their sites.
Source
- Original title
- “3p per mile plan as UK drivers set for rule change”
- Published
- 20 September 2026
- Updated
- 22 September 2026
In this story
- Topic
- Policy & Market
- Place
- United Kingdom
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