Rachel Reeves just slapped drivers round the face | Tech News
Rachel Reeves will hit electric car drivers with a new pay-per-mile tax (Image: Getty)
Rachel Reeves has her eyes set on slapping drivers round the face as soon as again with increased car tax payments in the pipeline, however one main Labour determine will probably be livid that their electric car dream is at risk of being shattered. The Chancellor is set to dip into the pockets of British motorists as soon as again, confirming that a 3p-per-mile charge will come into impact for electric car homeowners from 2028.
As Energy Secretary, Ed Miliband is one of the main figures behind the nation’s EV push, even calling for the UK to “accelerate” the transition to electric autos. Back in 2024, the Doncaster North MP careworn that the “current’s only going in one direction, which is towards EVs”.
Ed Miliband is absolutely supportive of the UK’s EV transition (Image: Getty)
He even accepted that the Government has received to do a a lot better job of giving people the “reassurance around EVs”.
Well, that’s going well, isn’t it? He must be left wondering which side he is batting for after Reeves’s tax torpedo, which is set to have devastating impacts for the EV market.
It’s clear now that Reeves’s per-mile EV charge has massively backfired. Who would have guessed? A recent poll of 12,000 motorists found 55% would be put off switching to electric if new mileage charges come into effect. Experts at Electrifying.com said the data should be a “wake-up call for Whitehall”.
After the news, the Office for Budget Responsibility confirmed that 440,000 fewer electric cars will be sold as a result of the plan, with the industry sharpening its knives.
The Society of Motor Manufacturers and Traders known as the concept the “wrong measure at the wrong time”, with sellers already reporting a dip in demand for electric autos.
Has Reeves noticed the calls for change? Or is she set to press on anyway? Based on her spring statement, it seems the Chancellor hasn’t got her eyes on UK roads at all, as fuel duty and VAT reforms went begging.
The UK is at a dangerous crossroads in its electric car journey, with demand starting to slip. Has the EV mask slipped already?
Electric car owners will pay 3p per mile from 2028 (Image: Getty)
In January, the market share of electric vehicles dropped from 21.3% in 2025 to 20.6%. Manufacturers are also questioning what they are doing after investing millions in EV production lines, only to notice no one is interested.
Stellantis, the parent company behind popular brands such as Vauxhall and Citroen, has confirmed it will continue to produce diesel vehicles. They are not the only ones. Ford has significantly scaled back its EV plans, with Mazda, Porsche and Mercedes-Benz among the biggest brands left adjusting targets.
If they want electric cars to work, the Government needs to be increasing support for EV owners and make petrol and diesel owners so jealous of what they are missing out on that they quickly jump ship.
Taxing motorists to the hilt isn’t the means ahead. Miliband may see his EV dream crumble in entrance of his eyes, and Reeves will probably be partly accountable.
Stay forward of the curve with the newest developments in the automotive world! Our web site is your final vacation spot for car information, delivering complete updates, in-depth market evaluation, and professional insights into the fast-evolving automotive industry. We deliver you every day protection on every part from breakthrough vehicle applied sciences and industry trends to main bulletins which might be driving the future of transportation.
Discover how these trends are remodeling the street forward! Visit us commonly for partaking and informative content material by clicking right here. Our meticulously curated articles cowl market trends, investment methods, and key milestones in immediately’s quickly evolving car panorama.
