🚗⚡️ Heads up, electric car owners! Big changes are coming your way. Starting April 2028, a new mileage-based charge, known as eVED, is set to roll out and it could cost you more the further you drive.
Here’s the scoop:
– Battery electric cars will face a charge of 3p per mile.
– Plug-in hybrids will be charged 1.5p per mile within the 2028-2029 financial year.
– Good news for those with electric vans, trucks, and motorcycles—they’re exempt for now!
On average, if you drive 8,500 miles a year, expect to pay around ÂŁ255 extra, which is about half of what petrol and diesel drivers pay in fuel tax. The catch? You’ll need to self-report your mileage annually through MOT stations or a new checkup process.
But it’s not all costs—there’s some relief on the horizon too! The Expensive Car Supplement threshold for electric vehicles is increasing from ÂŁ40,000 to ÂŁ50,000 in April 2026. This means more buyers can dodge the hefty luxury tax. Plus, the Electric Car Grant will keep running until 2030 with an additional ÂŁ300 million in funding, offering up to ÂŁ3,750 off eligible EVs.
What are the experts saying? The RAC warns that this new tax could slow down the surge in electric vehicle sales. They also note the lack of VAT reduction on public charging, which means if you can’t charge at home, you could be footing a bigger bill.
It’s a balancing act between encouraging electric vehicle adoption and managing government revenue. Do you think this new charge will affect your decision to go electric? Let us know in the comments! ⚡️💬