Why the UK’s New EV Pay-Per-Mile Tax Risks Slowing the Fleet Transition

A New Tax, and New Uncertainty: The UK Government has confirmed plans to introduce a new 'VED+' pay-per-mile tax for electric vehicles from April 2028, charging drivers around 3 pence per mile.

Framed as a 'fairness' measure, it’s already attracting widespread criticism from across the fleet, leasing, and automotive sectors.

Industry bodies such as the Society of Motor Manufacturers and Traders (SMMT) argue that this move comes “at entirely the wrong time”, just as the UK is working to accelerate zero-emission adoption.

The Industry Reaction

Leaders from Europcar, Novuna, Autotrader, and Close Brothers Motor Finance have all warned that this new charge could deter businesses and drivers from making the switch to electric, at a time when upfront costs and charging access already remain barriers.

Jon Lawes of Novuna Vehicle Solutions said it plainly:

“The EV transition remains fragile and needs support, not new burdens.”

For a fleet covering 20,000 miles annually, the new levy could add £600 to yearly running costs, a cost that many operators cannot easily absorb.

Why This Matters for Businesses

While fiscal policy evolves, the real risk is hesitation. Many fleet operators are already delaying procurement decisions due to uncertainty over future costs.

But inaction carries its own risks: missing ZEV compliance targets, higher long-term fuel costs, and falling behind competitors that have already gone electric.

Our View at EVC Solutions

At EVC Solutions, we understand that funding models and taxes will change. What doesn’t change is the long-term case for electrification: lower total cost of ownership, stronger sustainability credentials, and compliance with emerging corporate ESG standards.

Our message to fleet and facilities managers is simple:

Don’t let policy uncertainty pause your progress.

Future-ready infrastructure, installed and supported by experts, ensures your investment continues to deliver, no matter how regulations evolve.

The EVC Process

We make the transition clear and controlled:

  1. Consultation – Understanding your fleet and business needs.
  2. Survey – Assessing grid capacity and site requirements.
  3. Design – Creating a tailored infrastructure plan.
  4. Installation – Delivered with precision and minimal disruption.
  5. Management & Support – Ongoing optimisation and reliability.

Stay Ahead of Policy. Future-Proof Your Fleet.

The pay-per-mile proposal may slow some, but the most forward-thinking businesses will keep moving.
With EVC Solutions as your partner, the road to zero emissions remains clear, strategic, and achievable.

Book an appointment today and see what’s possible.

UK Lithium Milestone Strengthens EV Supply Chain and Energy Security

The UK has taken a major step toward securing its place in the global electric vehicle supply chain, as Cornish Lithium becomes the first company to mine and refine lithium hydroxide on British soil.

From its Trelavour Demonstration Plant near St Austell, Cornish Lithium has successfully produced lithium hydroxide monohydrate (LHM), the refined form of lithium essential for EV batteries, energy storage systems, and modern electronics.

This achievement represents the first end-to-end lithium refining process in the UK, transforming a former china clay quarry into a state-of-the-art industrial site. With Cornwall holding Europe’s largest lithium deposits, it’s estimated the region could supply over 50% of all lithium required for UK EV production by 2030.

Cornish Lithium’s work, backed by Innovate UK’s Automotive Transformation Fund, showcases the UK’s capability to create a resilient and responsible critical minerals supply chain, vital for energy security and national economic growth.

EVC Solutions Director Nigel Ryan commented on the announcement:

“This is very exciting news and adds further to the technological value created for ‘UK plc’; energy and materials security and many other important elements supporting the transition from ICE to BEV. Well done to the folks in Cornwall, working hard to make this critical investment in the UK Lithium future, just super news.”

At EVC Solutions, we see this as a turning point for the UK’s EV transition. Secure access to key materials like lithium will help stabilise battery costs, accelerate infrastructure rollout, and ensure businesses can invest in EV fleets and charging infrastructure with confidence.

It’s another reminder that the UK’s electric future isn’t just possible - it’s already being built.

Book an appointment today and see what’s possible.