Experts have called for urgent Vehicle Excise Duty (VED) car tax changes which may see the introduction of a pay per mile system.
Labour have been told to introduce new car tax fees on certain road users (Image: Getty)
Labour has been urged to introduce a new pay-per-mile car tax, which would likely affect certain petrol and diesel motorists. Campaigners at the Green Alliance have previously claimed there is a need to cut the number of fossil-fueled HGVs on the road.
In a previous report, the group openly called for officials to introduce a per-mile HGV levy that would be in line with European HGV charging models. The group stressed that “reducing emissions from HGVs is essential to reach net zero” in an open call for change. It could put further pressure on Labour Chancellor Rachel Reeves to overhaul road tax despite the potential impact on combustion fuel owners.
The Green Alliance believes HGVs should be hit with pay per mile fees (Image: Getty)
A previous report from the Green Alliance said: “Prioritising zero emission alternatives, particularly electric HGVs, should be central to sustainable transport strategy.
“Policies that could support the switch include a sales mandate on manufacturers, similar to that applied to cars and vans, investment in heavy duty rapid charging infrastructure and the reform of the HGV levy.”
Last Autumn, just months after Labour took office, the Tony Blair Institute called for the introduction of road pricing fees.
The group founded by the former Prime Minister suggested that Labour could charge up to 1p per mile for cars and vans.
There would then be a higher 2.5 to 4p rate for those getting behind the wheel of lorries and HGVs.
However, a recent study suggests that the introduction of a new tax system may not be as politically disastrous as first thought.
A poll from Auto Express showed that 42% of British drivers support the concept of a pay-per-mile Vehicle Excise Duty (VED) system.
Last year, a survey from Go Compare found that just 26% wanted the current tax system to be changed to a pay-per-mile fee.
However, older drivers were more in favour of the move, with updates backed by one-third of respondents.
According to GB News, the Green Alliance added: “Driving has been effectively subsidised through taxes, contributing to a long-term trend where the cost of public transport has risen faster than the cost of driving a petrol or diesel car.
“The brunt of the impact has fallen on poorer households who are less likely to own a car or own one car for several people.”
