The plan would be announced in the 26 November 2025 Budget and would undergo consultation, with implementation not expected before 2028.

Rachel Reeves is identified as the political figure expected to back or announce the surcharge as part of the Budget.

Critics label the policy a “tax on motorists,” while supporters say it’s needed to fund road upkeep and public services.

The UK Budget plans propose a new road charge for electric vehicle drivers, potentially up to 3p per mile after 2028, with hybrids paying a reduced rate, aimed at boosting fuel-duty revenue as EV adoption grows.

Drivers would estimate annual mileage and pay accordingly; credits would be issued if actual miles are lower than estimated, while excess miles would incur a top-up charge.

The government argues the reform would be fairer for all drivers, better funding roads and public services, and would still support the EV transition with existing and additional measures totaling billions in assistance.

Treasury officials were contacted for comment on the proposal.

Labour faces internal concerns about how breaking pledges could affect political support and the party's electoral recovery.

The article frames the issue as a public debate and invites readers to vote in an online poll and join discussions.

Opposition parties criticize the plan, warning it could impact households and small businesses; industry observers say the policy’s details will determine whether it’s seen as fair or punitive.

Media coverage references The Sun and The Telegraph, indicating ongoing reporting on the proposed tax.

The idea aligns with earlier recommendations from groups like the Resolution Foundation and has drawn caution from the AA, which warned against a “poll tax on wheels.”

Treasury officials note fiscal pressures as Labour contemplates tax rises, potentially clashing with manifesto pledges not to raise income tax, national insurance, or VAT.