Labour has come under mounting pressure over its planned fuel duty increases and car tax burdens for EVs, with opposition MPs demanding assurances the new pay-per-mile charge would not become a “gateway“ to similar levies on petrol and diesel drivers.
During a heated debate, Conservative MP Harriet Cross warned that extending pay-per-mile taxes to conventional vehicles “would cripple rural communities, rural families, and rural businesses”.
She told the House: “It is a slippery slope that the Government have started on with EVs, and if the system progresses to cover petrol and diesel vehicles, it will be a hell of a lot worse for a lot of people.”
The warning follows the announcement made by Chancellor Rachel Reeves at the Autumn Budget, which brought in a new 3p per mile charge for electric vehicles and 1.5p for hybrids from 2028.
Ms Cross, who represents the rural Scottish constituency of Gordon and Buchan, pressed Treasury ministers for explicit confirmation that the mileage-based charging system would only apply to electricified vehicles.
The Conservative MP highlighted the particular burden on her constituents, noting that some residents commute nearly 18,000 miles annually to reach their workplaces in Aberdeen’s oil and gas sector.
Under the new EV charging regime, she calculated such commuters would face bills of approximately £535 annually simply for travelling to and from their jobs.
“Perhaps Treasury Ministers cannot imagine having to do a 77-mile round trip to get to work, but that is what my constituents do, and they are being penalised for it,” Ms Cross told MPs.
The Road Haulage Association has estimated the 5p rise would add roughly £2,300 to HGV driving costs
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GETTY/PAIn response, Exchequer Secretary Dan Tomlinson confirmed the Government had no plans to extend the mileage-based system beyond electric vehicles, since they are the only ones that don’t pay fuel duty.
“Petrol cars do pay fuel duty, which, because it is on a litre of petrol, is a charge that is determined by how much someone drives,” the minister stated.
The Government maintains that the 3p per mile rate for EVs is lower than the average 6p equivalent paid by motorists filling up with petrol or diesel.
Under the new measures, drivers will see their bills increase by £535 yearly
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GETTYShadow Transport Secretary Richard Holden accused Labour of deploying “salami tactics” with its fuel duty plans, describing the phased increases as a “back to school tax” in September, a “Christmas shopper tax” in December, and “springtime for taxes” in March.
The Conservative frontbencher warned that families would face an additional £156 annually as a result of the changes.
He emphasised the disproportionate burden on rural areas, telling MPs: “The truth is that the Department for Transport and the Treasury working together is more like watching an episode of ‘Hustle’. The con is on.”
The Road Haulage Association has estimated the 5p rise would add roughly £2,300 to annual operating costs for a typical Heavy Goods Vehicle.
The new tax changes will see EV drivers pay 3p per mile and 1.5p per mile for plug-in hybrids
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PAMr Tomlinson noted that the temporary 5p per litre fuel duty cut had been extended until the end of August, while an inflation-linked increase planned for 2026-27 had been cancelled entirely.
The minister claimed these decisions would save the average driver more than £90 compared with plans inherited from the previous administration.
On the broader question of pump prices, Mr Tomlinson argued that international factors remained paramount.
“Rapid de-escalation remains the best way to protect people from further fuel price increases,” he told the Commons.