Electric Vehicles: Excise Duties

(asked on 23rd July 2026) - View Source

Question to the HM Treasury:

To ask His Majesty's Government whether they intend to proceed with the introduction of Electric Vehicle Excise Duty in April 2028; and what assessment they have made of its impact on rural motorists, disabled motorists and those without access to off-street charging.


Answered by
Lord Pitt-Watson Portrait
Lord Pitt-Watson
Parliamentary Secretary (HM Treasury)
This question was answered on 5th August 2026

As announced at Autumn Budget 2025, Electric Vehicle Excise Duty (eVED) will be introduced from April 2028. Drivers of electric and plug-in hybrid cars will pay for their mileage alongside their existing Vehicle Excise Duty (VED).

The Government has carefully considered the impact of eVED on rural motorists, disabled motorists and those without access to off-street charging. The Government has confirmed eVED should apply to these groups on a consistent basis, as it is designed to mirror the contribution made by drivers of petrol and diesel vehicles through fuel duty, from which these groups are not exempt.

While those living in rural areas tend to drive more than those in urban areas, they are also significantly more likely to have access to lower-cost home charging. According to 2025 Department for Transport survey data, 84% of rural electric vehicle drivers have access to a dedicated home charger.

Support for disabled motorists continues to be available through existing schemes. Individuals in receipt of the higher rate mobility component of disability benefits, including Personal Independence Payment (PIP), qualify for a VED exemption. A 50 per cent reduction in VED is also available to those in receipt of the standard rate mobility component of disability benefits.

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