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HomeSourcesthetimes.co.ukLoss of tax emption for electric vehicles 'will drive customers away'

Loss of tax emption for electric vehicles ‘will drive customers away’

The imposition of road tax on previously exempt electric vehicles will drive motorists away from buying zero-emission cars before a ban on the sale of petrol and diesel vehicles by 2030, according to industry experts.

Electric vehicles will no longer be exempt from vehicle excise duty from April 2025, Jeremy Hunt announced in what he called a policy decision to make motoring taxes fairer. He cited data from the Office for Budget Responsibility, which forecast that half of all new vehicle sales would be electric by 2025.

Under the plans, new zero-emission cars registered after April 2025 will be liable to pay the lowest first-year rate of excise duty, £10 a year at present. From the second year of registration onwards, they will move to

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