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Electric cars - Reeves to hit drivers with pay-per-mile tax

232 replies

PuppyPadsAreHereAgain · 06/11/2025 10:27

Todays telegraph. Can imagine there will be howls of protest to this one.

Rachel Reeves to hit drivers with pay-per-mile tax in Budget

Reeves to hit drivers with pay-per-mile tax

Electric vehicles face new levy as Chancellor scrambles to make up for falling fuel duty revenue

https://www.telegraph.co.uk/politics/2025/11/05/reeves-to-hit-drivers-with-pay-per-mile-tax-in-budget/

OP posts:
Ilikewinter · 06/11/2025 15:53

ApathyCentral · 06/11/2025 15:51

Pretty much this ^^

With the shift to EV, the tax was always going to chance to per mile. However, they're going to do it badly if they don't set up the right taxing infrastructure. I read somewhere it would be a 'guess how many miles you'll do' approach - which is dumb as anything. To do it right you'd have to submit mileage readings each year on your MOT and be taxed at that point.

Unless you permenatly lease new cars and therefore get rid before it before its due the first MOT 🤔

jasflowers · 06/11/2025 15:58

Dontcallmescarface · 06/11/2025 15:44

I wonder what measures will be taken to insure that those living rurally, with no access to public transport and whose only option is to drive to work, are not going to be hit hard....oh that's right, none whatsoever because we don't matter.

Just another reason it wont happen, its budget time and silly season on anti Reeves scare stories, any taxes to make good the shortfall, will have to be on charging and yearly VED.... not mileage.

intrepidpanda · 06/11/2025 16:00

Thay might just bring in yearly MOT from new so they can get a bit of VAT off that too.
Can they not just use your GPS?

Interested in this thread?

Then you might like threads about this subject:

Thisiswhathings · 06/11/2025 16:10

EasternStandard · 06/11/2025 14:57

What are you looking forward to paying more on so Reeves can claw back taxes?

I'm looking forward to a year when there isn't massive hysteria fueled by the press and people falling for it each time pre budget. I'll wait until the budget before I hire my wet and dry vac .

EasternStandard · 06/11/2025 16:19

Thisiswhathings · 06/11/2025 16:10

I'm looking forward to a year when there isn't massive hysteria fueled by the press and people falling for it each time pre budget. I'll wait until the budget before I hire my wet and dry vac .

I don’t think you’re alone there, I think many people are fed up with the endless Labour kite flying and pre prep for taxing us to the hilt

The extracted budget doom press conference by Reeves didn’t help either.

Thisiswhathings · 06/11/2025 16:22

Every government from any party plant stories without fail . The press conference was apparently, I think from sky news , that people weren't listening tax rises were on the way. This was to make people sit up and notice.

dottiehens · 06/11/2025 16:38

Another day another tax added. This Labour cohort is so corrupt and incompetent. They are shameless.

intrepidpanda · 06/11/2025 17:00

I m hoping this may give rise to more WFH but I suspect that isn't going to help economy growth.

jasflowers · 06/11/2025 17:03

dottiehens · 06/11/2025 16:38

Another day another tax added. This Labour cohort is so corrupt and incompetent. They are shameless.

I'm looking fwd to it, make these rich bastards with their sodding great EV SUV's pay their way.... bring it on!!

Keytoken · 06/11/2025 17:05

PuppyPadsAreHereAgain · 06/11/2025 10:46

Thanks for posting another article on it.

I just feel like like these types of taxes are very sneaky. They encourage people to buy electric cars and then once lots have they hit them with something like this that they can't avoid.

A bit like the mansion tax idea. They hit people with it after people have committed to buying/living in their house.

Much harder to get out of things once you have bought them than to know about it before hand and take it into account during your decision making.

Neither of these ideas are happening. It's the right wing press speculating making things up and stirring people up about those awful tax stealing Labour types.

I shall wait and see what actually happens - just like last time when everyone was panicking and most of it never happened.

jasflowers · 06/11/2025 17:09

Keytoken · 06/11/2025 17:05

Neither of these ideas are happening. It's the right wing press speculating making things up and stirring people up about those awful tax stealing Labour types.

I shall wait and see what actually happens - just like last time when everyone was panicking and most of it never happened.

Yes, there a few non genuine posters on here, whose standard "go to" is to just make stuff up and stir the pot.

You'd think Reeves had announced this today, judging by their responses.

They did it at the last Budget and before that, the last GE, 95% never happens.

CraftyGin · 06/11/2025 17:20

The stupid thing about this proposed tax is paying by the mile. We don't do that here, and don't really have any way of reporting it until the having to do MOTs.

Other than that, it is right that EV cars should be taxed. They are much heavier than CE cars, and therefore more damaging to the roads.

Keytoken · 06/11/2025 17:23

CraftyGin · 06/11/2025 17:20

The stupid thing about this proposed tax is paying by the mile. We don't do that here, and don't really have any way of reporting it until the having to do MOTs.

Other than that, it is right that EV cars should be taxed. They are much heavier than CE cars, and therefore more damaging to the roads.

Which is why its all speculation that won't happen. If this is actually in the budget, I'll come back here and eat my hat.

The press is working to make people think things have already happened that never will.

DiscoBeat · 06/11/2025 17:31

Well we bought our electric car with discount incentives from the government, including about £400 off a pod point. Also an incentive for us was the road tax, which we now have to pay. I don't mind that but as we use the road but it's ridiculous to offer it with one hand and take it back with the other.

Mumofoneandone · 06/11/2025 17:39

It's an absolutely ridiculous suggestion, but what you expect from this government.
I'm already paying a huge amount in road tax for my electric. It went from £0 to just shy of £200 this April for a little Zoe. My DHs diesel is only £20 per year!!!

Mumofoneandone · 06/11/2025 17:40

CraftyGin · 06/11/2025 17:20

The stupid thing about this proposed tax is paying by the mile. We don't do that here, and don't really have any way of reporting it until the having to do MOTs.

Other than that, it is right that EV cars should be taxed. They are much heavier than CE cars, and therefore more damaging to the roads.

But all the large lorries thundering along the roads is much worse....

PrizedPickledPopcorn · 06/11/2025 17:44

So we pay VAT on electricity already, and the price per mile if you charge away from home is already the same as using petrol/diesel.

It’s currently only cheap if you have somewhere cheap to charge.

So great, thanks. I changed my very old PHEV for a 3 yr old electric. Looks like it’s going to get expensive.

HelplessSoul · 06/11/2025 17:49

JassyRadlett · 06/11/2025 15:23

Nope. Perhaps I expected a higher level of critical thinking.

Fuel duty already exists for 95% of vehicles and recent years have shown the political toxicity of raising it. I have many criticisms of the current government but given how they're framing this proposal, adding a direct PPM model to the indirect PPM model isn't going to happen.

You said:

"Every mile you drive, more than half the cost of fuel is tax."

But that tax on fuel does not cover distance.

Once a driver has fuelled up and paid that tax, they can drive at liberty without being taxed on distance until they need to fill up again.

A diesel driver can probably do 700-800 miles if they drive efficiently. Many petrol cars can go up to 500 miles between refills.

If this reckless Govt is stupid enough to pummel EV drivers with PPM to generate revenue, you can bet your ass they will, before long, introduce PPM to petrol/diesel drivers as well as a way to generate more money for their coffers to eventually piss away and waste.

Your critical thinking isnt as "high" as you make it out to be - you had no clue the angle I was referring to - and you probably still dont now that its in front of you. 🙄🤦‍♂️

intrepidpanda · 06/11/2025 17:57

Mumofoneandone · 06/11/2025 17:40

But all the large lorries thundering along the roads is much worse....

Exactly but at this rate we will have no money to buy shit so less lorries will be required too.

EasternStandard · 06/11/2025 18:01

Keytoken · 06/11/2025 17:23

Which is why its all speculation that won't happen. If this is actually in the budget, I'll come back here and eat my hat.

The press is working to make people think things have already happened that never will.

It’s kite flying too by Labour.

CraftyGin · 06/11/2025 18:19

Mumofoneandone · 06/11/2025 17:40

But all the large lorries thundering along the roads is much worse....

The lorries don't thunder down neighbourhood streets.

Another76543 · 06/11/2025 18:20

HelplessSoul · 06/11/2025 17:49

You said:

"Every mile you drive, more than half the cost of fuel is tax."

But that tax on fuel does not cover distance.

Once a driver has fuelled up and paid that tax, they can drive at liberty without being taxed on distance until they need to fill up again.

A diesel driver can probably do 700-800 miles if they drive efficiently. Many petrol cars can go up to 500 miles between refills.

If this reckless Govt is stupid enough to pummel EV drivers with PPM to generate revenue, you can bet your ass they will, before long, introduce PPM to petrol/diesel drivers as well as a way to generate more money for their coffers to eventually piss away and waste.

Your critical thinking isnt as "high" as you make it out to be - you had no clue the angle I was referring to - and you probably still dont now that its in front of you. 🙄🤦‍♂️

I think you’ve misunderstood the point the other poster is making.

But that tax on fuel does not cover distance.
Once a driver has fuelled up and paid that tax, they can drive at liberty without being taxed on distance until they need to fill up again”

The tax is on per litre of fuel. The more you drive, the more fuel you use, which means that the more miles you drive, the more tax you pay.

BCBird · 06/11/2025 18:22

The brief on the radio said petrol and diesel users pay duty. Electric users don't. It said electric cars are usually bought by higher earners. Why shouldn't they pay a duty?

HelplessSoul · 06/11/2025 18:26

Another76543 · 06/11/2025 18:20

I think you’ve misunderstood the point the other poster is making.

But that tax on fuel does not cover distance.
Once a driver has fuelled up and paid that tax, they can drive at liberty without being taxed on distance until they need to fill up again”

The tax is on per litre of fuel. The more you drive, the more fuel you use, which means that the more miles you drive, the more tax you pay.

I understood their flawed point perfectly well.

You and the other poster do not understand mine.

Once you have paid for your taxed fuel, whether you do one mile or a hundred, you arent taxed again until you fill up. Ergo, you are NOT taxed via Pay Per Mile.

PPM on EVs would be a perfect pathway to taxing conventional cars on PPM on top of what they pay in fuel duty.

Stunned that (some) people cant see that.