Andy Burnham and Chancellor John Healey are being urged to scrap a £210 charge for drivers covering 7,000 miles annually under the Labour government's proposed electric vehicle (EV) pay-per-mile plan. The scheme, known as eVED, would impose a 3p per mile charge on electric vehicles from 2028, replacing former Chancellor Rachel Reeves' original proposal.
Industry Leaders Call for Scrapping of eVED
Peter Golding, CEO of fleet software company, condemned the plan, stating: "We’ve heard very little so far about transport from the new Prime Minister, but he does keep reiterating themes of being both business friendly and making life easier and less financially stressful for ordinary people. Both the ZEV mandate and eVED would seem to us to fall into these categories. They are policies that are expensive and add complication for companies operating cars and vans, and for motorists, too."
Golding added: "While we understand that fleet is not at the top of the Government’s agenda, it would be positive for the sector to be able to open discussions with the appropriate new ministers and their teams in a matter of weeks or months to express our concerns."
Potential for Delay or Changes
Golding also noted: "There have been noises from within the Burnham camp that they’d like to listen more closely and hopefully that approach will extend to policies that affect fleets. Especially, if we are able to see further changes to eVED or secure a delay, that would be a win for the fleet sector."
Skills Gap and Road Safety Concerns
Nick Connor, CEO of the Institute of the Motor Industry (IMI), highlighted additional concerns: "Before the general election, Labour promised to champion the motor industry – a sector fundamental to the UK's economy and its social infrastructure. Two years on, that promise has not been delivered, and the skills gap in our sector has become a road safety issue."
Connor emphasized the rapid technological changes: "Vehicles are changing faster than at any point in history - electrification, connected systems, automated driving technology. The people who maintain, repair and recover them must be demonstrably competent, yet apprenticeship starts are falling and qualification levels are nowhere near where demand requires."
He urged the new Prime Minister to take immediate action: "The new Prime Minister has an immediate opportunity to put this right: mandate IMI TechSafe, protect the rigour of automotive apprenticeships, and give our 800,000-strong workforce the recognition and investment it deserves. The IMI is ready to work with him from day one."
