Stop the UK Chancellor From Triple-Taxing Plug-In Hybrids

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The Issue

In the Autumn Budget statement, the Chancellor, Rachel Reeves, announced a new 1.5 pence-per-mile charge on plug-in hybrid (PHEV) vehicles from 2028.
This tax is misguided, unfair, and effectively triple taxes PHEV owners. I am calling on the Government to withdraw this proposal.

Why the policy is flawed

1. It assumes plug-in hybrids are primarily driven on electricity – but for many drivers they are not.
Current running costs make petrol cheaper than electricity for many hybrid owners. Using today’s Northern Ireland prices:

Petrol costs approx. 11.5p per mile (based on £1.249/litre and 50mpg).
Charging costs range from 13.2p to 38.8p per mile, depending on whether the charge is at home (30.2p/kWh) or at a public station (up to 89p/kWh).
I have owned a plug-in hybrid for four months and have charged it only once — because, simply, petrol is cheaper. In these cases, the Treasury already receives full fuel duty.

2. It imposes UK tax on miles driven abroad.
Since purchasing my PHEV, I have driven approximately 1,500 miles in Ireland and France. Under the proposed scheme, I would still be charged £22.50 in UK tax for miles driven entirely outside the UK. This is unreasonable and illogical.

3. It unfairly penalises plug-in hybrids compared to self-charging hybrids.
Many PHEV drivers — myself included — operate their cars exactly like self-charging hybrids because electricity costs make plug-in charging uneconomical.
Yet only plug-in hybrids would face the new mileage tax, while self-charging hybrids would not.
The Government is effectively imposing a surcharge simply because a vehicle has a plug, even if the feature is not used.

The result: Triple Taxation
PHEV owners already pay:

Vehicle Excise Duty (e.g., £195 per year in my case)
Fuel duty on petrol
And now a new per-mile charge solely because the car is capable of being plugged in
This is triple taxation, and it is fundamentally unfair. It will deter future PHEV sales, reduce the value of existing PHEVs, and penalise responsible motorists who chose hybrids in good faith.

What this petition asks
We call on the Chancellor to scrap the proposed 1.5p-per-mile charge on plug-in hybrids. This tax is ill-considered, poorly targeted, and punishes drivers for features they may not even use.

Please sign this petition to oppose this unfair and misguided policy.

 

The Decision Makers

British Treasury
Rachel Reaves

Supporter Voices

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