EV pay-per-mile tax calculator

When does the EV mileage tax start? And how much will it be?

The new charge is set to begin in 2028, based on the announcement in the 2025 Autumn Budget. The proposed costs are 3p per mile for fully electric cars and 1.5p per mile for plug-in hybrids. These rates come from the government’s Electric Vehicle Excise Duty consultation.

Will I still pay normal car tax (VED)?

Yes. The mileage charge, also known as the Electric Vehicle Excise Duty (eVED), will see drivers pay for their mileage alongside the existing Vehicle Excise Duty (VED) also known as EV road tax, which was introduced in April 2025.



Unsure when your car tax runs out? Stay on top of it with our free car tax checker.

How will the government know my mileage?

We don’t have the final answer yet. But likely options include mileage declarations or readings at annual checks.

Are EVs still cheaper to run?

Yes, for most drivers, EVs can still be cheaper to run, even with the new pay-per-mile tax coming in.

Electricity is usually cheaper than filling up with petrol, and the new 3p-per-mile charge still works out to roughly half what petrol and diesel drivers pay in fuel duty per mile.

You’ll get the biggest benefit if you can charge at home and drive a fairly typical mileage of up to 10,000 miles. If you’re a high mileage driver or rely on public charging, the gap might shrink, but for everyday driving, EVs can still work out to be the more cost effective option.

Could the 3p rate change before 2028?

It could change. The 3p-per-mile rate comes from the latest budget announcement and GOV.UK consultation, but it isn’t locked in until the policy is finalised. That means the government could adjust the rate or the details before 2028, but for now, 3p per mile is the figure they’ve set out.