Pay-Per-Mile Tax UK Calculator 

Pay-Per-Mile Tax UK Calculator

Pay-Per-Mile Road Tax Calculator

Estimate extra road tax for electric and hybrid vehicles from April 2028. Rates: 3p per mile for battery EVs, 1.5p per mile for plug-in hybrids, plus £195 VED.

How It Works

Government plans a mileage charge atop standard VED to offset lost fuel duty as EVs grow. Drivers declare miles yearly, likely at renewal, with possible MOT checks.

Rate Examples

  • 8,000 miles EV: £240 mileage + £195 VED = £435 total
  • 10,000 miles EV: £300 mileage + £195 VED = £495 total
  • 12,000 miles Hybrid: £180 mileage + £195 VED = £375 total

Key Dates

  • November 2025 Budget: Final announcement
  • 2026-2027: Consultation period
  • April 2028: Charges start

Common Questions

Applies to hybrids too?

Yes, plug-in hybrids at 1.5p per mile, full EVs at 3p. Pure petrol/diesel stick to fuel duty for now.

Payment method?

Pre-pay estimated miles with VED renewal. Overages settled later via self-report or checks.

Cheaper for low miles?

Yes, 5,000 miles EV: £150 mileage charge. City drivers benefit most versus fuel duty payers.

Privacy concerns?

No GPS needed; relies on declarations like insurance estimates.

Mileage vs Fuel Duty

Annual Miles EV Mileage Charge Typical Fuel Duty (Petrol)
5,000 £150 ~£300
10,000 £300 ~£600
15,000 £450 ~£900

References

  • HM Government, Vehicle Excise Duty proposals, gov.uk, 2025.
  • Electric Car Scheme, Pay-Per-Mile Road Tax analysis, electriccarscheme.com, 2025.
  • MoneySuperMarket, EV Tax Calculator details, moneysupermarket.com, 2025.
  • Taxfix UK, Mileage allowance guidance, taxfix.com, 2025.
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