Close Menu

    Subscribe to Updates

    Get the latest creative news from FooBar about art, design and business.

    What's Hot

    Apple iPhone Duo sets a new benchmark for foldable design

    November 2, 2026

    Dengue kills 173 in October as Bangladesh toll climbs to 418

    November 2, 2026

    Korea’s chip exports soar 259% as October shipments hit record

    November 2, 2026
    Tunisian Star: Tunisia’s stories in global focus.Tunisian Star: Tunisia’s stories in global focus.
    • Automotive
    • Business
    • Editorial
    • Entertainment
    • Health
    • Lifestyle
    • Luxury
    • News
    • Sports
    • Technology
    • Travel
    Tunisian Star: Tunisia’s stories in global focus.Tunisian Star: Tunisia’s stories in global focus.
    Home » UK Moves Forward with Pay-Per-Mile Tax for Electric Vehicles
    News

    UK Moves Forward with Pay-Per-Mile Tax for Electric Vehicles

    July 15, 2026
    Facebook WhatsApp Twitter Pinterest LinkedIn Telegram Tumblr Email Reddit VKontakte

    LONDON / RankWire.AI / – The UK government has advanced its plans for a pay-per-mile tax on electric vehicles by publishing its consultation response and draft legislation. HM Treasury issued the documents on July 13 and confirmed an implementation date of April 1, 2028. The draft clauses are now subject to a technical consultation closing on Sept. 7. This new charge, named Electric Vehicle Excise Duty, will operate alongside the existing Vehicle Excise Duty that motorists already pay.

    UK advances pay-per-mile tax for electric vehicles
    UK electric vehicle drivers prepare for a new pay-per-mile tax from April 2028.

    Battery-electric and hydrogen fuel cell vehicles will be charged 3 pence per mile traveled. Plug-in hybrid vehicles will be charged 1.5 pence per mile since they also pay fuel duty when using petrol or diesel. An electric vehicle traveling 8,000 miles annually would face a mileage fee of £240, while a driver covering 10,000 miles would pay £300. The government plans to increase these rates in line with consumer price inflation from the 2029-30 tax year onward.

    When renewing their annual vehicle tax, drivers will need to submit an odometer reading and estimate their mileage for the upcoming tax period, usually lasting one year. They can choose to pay the estimated amount upfront or spread payments throughout the year. A subsequent odometer reading will enable the DVLA to reconcile the estimate with actual mileage. Existing MOT mileage records will be used where available to help determine any adjustments needed.

    Mileage reporting replaces additional inspections

    The government has abandoned a previous proposal requiring newer electric vehicles to undergo separate annual mileage inspections. Since most vehicles do not need an MOT during their first three years, or four years in Northern Ireland, owners will instead report mileage and provide estimates during each tax renewal. The initial MOT will supply a verified reading for comparison purposes. The DVLA retains the authority to request an official mileage check if fraud or noncompliance is suspected.

    This system will not involve tracking devices or gather data on individual journeys, nor will it differentiate rates based on location or time of travel. Consequently, mileage accumulated abroad by UK-registered vehicles will be counted towards the tax. The scheme will include battery-electric cars, plug-in hybrids, and hydrogen fuel cell vehicles. However, electric vans, buses, coaches, and heavy goods vehicles will remain outside its initial scope. Connected-car mileage reporting will continue to be optional.

    Consultation influences the final design of the tax

    HM Treasury received 5,133 responses during the consultation period from November 2025 through March 2026, with 92% coming from individuals. Concerns raised included administrative burdens, mileage verification, potential fraud, overseas travel, and impacts on fleet operators. In response, the government has simplified procedures for leasing and rental firms. Planned adjustments include estimated readings, bulk licensing, and more adaptable payment options. Authorities will also develop guidance and tools to assist drivers in estimating their annual mileage.

    It is estimated that about 5.6 million vehicles will be affected by this measure in the 2028-29 fiscal year, with the Office for Budget Responsibility projecting revenues of £1.1 billion that year. Revenue is expected to grow to £1.44 billion in 2029-30 and reach £1.87 billion in 2030-31. Prior to implementation, the work will involve updating DVLA systems, establishing payment procedures, mileage verification processes, refunds, penalties, and dispute resolution mechanisms.

    Related Posts

    India’s extreme poverty falls to 2.6% under Modi’s growth push

    October 31, 2026

    Cyclone Arnab kills three as India evacuates thousands

    October 29, 2026

    UAE leaders honour flydubai crew for courage in air incident

    October 28, 2026

    Sheikh Khaled and Carney discuss UAE-Canada ties in Ottawa

    October 28, 2026

    Fertiliser costs from Iran war put African harvests at risk

    October 27, 2026

    BRICS lawmakers hold talks with Modi at New Delhi forum

    October 27, 2026
    Latest News

    Apple iPhone Duo sets a new benchmark for foldable design

    November 2, 2026

    The Apple iPhone Duo redefines the book-style foldable category by adopting a practical “passport” aspect ratio (5.4-inch outer display, 7.6-inch inner display), a crease-mitigating nano-texture matte finish, and a vapor-cooled 2nm A20 Pro chip. It foregoes Face ID in favor

    Dengue kills 173 in October as Bangladesh toll climbs to 418

    November 2, 2026

    Korea’s chip exports soar 259% as October shipments hit record

    November 2, 2026

    Ebola deaths in DR Congo reach 5,340, fatality rate at 51.6%

    November 2, 2026

    India’s extreme poverty falls to 2.6% under Modi’s growth push

    October 31, 2026

    Kenya targets 150,000 tonnes of coffee with new varieties

    October 31, 2026

    Dakar 2026 Youth Olympic Games open Saturday in Senegal

    October 30, 2026

    Germany’s EV boom lifts global sales to record 11 million

    October 30, 2026
    © 2026 Tunisian Star | All Rights Reserved
    • Home
    • Contact Us

    Type above and press Enter to search. Press Esc to cancel.