The government has confirmed that a 3p per mile road tax for electric vehicles will be introduced from April 2028. It’s a big headline, and naturally, it raises questions. How much will it cost? Will EVs still be cheaper to run? And what does it actually mean for you day-to-day? Here’s what you need to know.
Why is a per-mile tax being introduced?
Until now, EV drivers haven’t paid fuel duty (the tax included in petrol and diesel prices). As more drivers switch to electric, the government is introducing a new system to help fund roads and infrastructure in a fairer, more consistent way. In simple terms: Instead of paying tax through fuel, you’ll pay based on how far you drive.
What will it cost?
At the proposed rate of 3p per mile, the cost for most urban drivers is likely to be lower than national averages. In London, where drivers tend to cover fewer miles each year, a typical driver doing around 5,000 miles annually would pay roughly:
£150 per year
Around £12.50 per month
In Brighton, where driving distances are slightly higher, a driver covering around 7,000 miles per year would pay approximately:
£210 per year
Around £17.50 per month
In both cases, this remains a relatively small addition, especially when compared to the cost of petrol or diesel driving.
How does this compare to petrol and diesel?
To understand the full picture, it helps to look at how petrol and diesel are currently taxed. Fuel duty will remain frozen at 52.95p per litre until September 2026, marking the 16th consecutive year without an increase.
However, the temporary 5p cut will begin to be reversed from that point. In real terms, fuel duty already adds around 6p per mile for petrol and diesel drivers, roughly double the proposed EV rate.
So even with a 3p per mile charge, electric driving is still expected to remain significantly cheaper per mile. This approach is intentional. The gradual return of fuel duty helps maintain a clear cost advantage for EVs, supporting the continued shift away from petrol and diesel.
Will EVs still be cheaper to run?
Yes, and this is the key takeaway. Even with a per-mile charge, EV drivers will still benefit from:
Lower energy costs (electricity vs petrol/diesel)
Lower maintenance costs (fewer moving parts)
More predictable day-to-day running costs
So while EV drivers will begin contributing in a new way, the overall cost of driving electric is still expected to be lower.
The RAC have evidenced, “The electric motors, batteries and transmission of electric vehicles have fewer moving parts than those of a petrol or diesel car, and this means you can save money, as they are cheaper to maintain and repair. EV batteries also have long warranties – usually eight years – which tends to be more than the warranty for the car itself.”
What does this mean for everyday charging?
For most urban drivers, not much will change. If you’re already charging regularly, whether at home or on-street, your biggest cost remains the electricity itself. The per-mile charge simply becomes an additional, relatively small running cost.
It also reinforces something many EV drivers already do well: charging efficiently and only using what you need.
Continued investment in charging infrastructure
Alongside these changes, the government is continuing to invest in charging infrastructure across the UK. Funding is being rolled out to expand public charging networks in towns, cities, and rural areas, particularly to support drivers without access to a driveway. This is a crucial step. As more on-street and local chargers are installed, it becomes easier for more people to switch to electric, not just those who can charge at home. For urban drivers, this means:
Greater access to reliable, local charging
Less reliance on rapid charging or long detours
A more convenient, everyday charging experience
What this means for char.gy drivers
For most char.gy drivers, this change won’t dramatically alter how you charge or how you drive day to day. If you’re already using on-street charging, your routine stays the same:
Plug in when you park
Charge overnight or while you’re at home
The new 3p per mile charge simply becomes part of your overall running cost, much like fuel duty is for petrol and diesel drivers today. But here’s the important part: EV driving is still built around convenience and control.
With char.gy, you’re charging where you live, often at lower overnight rates, without needing to rely on expensive rapid charging or change your routine. That means:
No big spikes in cost
No unnecessary detours
No compromise on convenience
Should EV drivers be worried?
In short: no. This change isn’t about discouraging EV adoption; it’s about updating how road use is funded as more drivers go electric. EVs will still offer:
Lower overall running costs
A cleaner way to drive
Long-term savings compared to petrol and diesel
The bottom line
The introduction of a 3p per mile tax from April 2028 marks a shift in how driving is taxed, not a shift away from electric vehicles. The cost advantage remains. Investment in charging is increasing. And access to public charging is expanding. For most drivers, especially those charging on-street, EVs will continue to be the smarter, more cost-effective choice.
If you would like a char.gy charge point nearer to home, request one here: https://char.gy/driver_charge_point_requests/new