UK think tank suggests pay-per-mile car tax, may increase costs for some drivers, and plans to include electric vehicles from 2025.

The UK think tank Policy Exchange has proposed a pay-per-mile car tax to replace the current road tax system, potentially increasing costs for some drivers by up to £586 annually. The plan, supported by Edmund King of The AA, aims to address a £24 billion shortfall in fuel duty revenue and includes tracking via ANPR cameras. The Labour government is considering this proposal, which may also affect electric vehicle owners starting in 2025.

October 28, 2024
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