Fleets are being encouraged to engage with the Government’s consultation on the proposed electric Vehicle Excise Duty (eVED), which would introduce a 3 pence-per-mile charge for EVs and 1.5ppm for PHEVs from April 2028. The Association of Fleet Professionals (AFP) says industry input is vital before the system is finalised.
The Chancellor confirmed the move in the Budget, arguing it creates fairness with petrol and diesel drivers. Rates would rise annually with the consumer price index, though vans, buses, motorcycles, coaches and HGVs remain outside the scope of eVED at launch.
AFP chair Paul Hollick said fleets accept the need to replace declining fuel-duty revenues but warned that introducing a new tax “before electric cars become the norm… is a very risky move.” He added that public reaction has already been negative, potentially creating another barrier to EV demand and used-market confidence.
Hollick also criticised the proposed mileage-verification process — where drivers estimate annual mileage upfront and adjust it after 12 months — calling it “a hotch-potch”. Requiring vehicles under three years old to attend MOT stations for checks would also add disruption.
Respond to the consultation here.