Motorists across the UK are confronting significantly higher running costs, with new figures revealing that keeping a petrol or diesel car on the road now costs up to 18 pence for every mile travelled.
Breaking Down the Per-Mile Costs
According to data analysed by NimbleFins, the expense of fuelling a petrol car currently falls within a range of 13p to 18p per mile. For diesel vehicles, the cost is slightly lower but still substantial, sitting between 13p and 16p per mile. These figures starkly highlight the financial burden on drivers of traditional internal combustion engine vehicles.
The research underscores that these costs are not uniform. They vary considerably based on a vehicle's engine size and fuel efficiency. A larger engine, measured by higher cubic capacity (CC) or horsepower, consumes more fuel and achieves fewer miles per gallon (MPG), directly increasing the cost per mile.
Costs by Engine Size
The analysis provides a clear breakdown of how engine size impacts drivers' wallets:
- Cars up to 1400cc: Average 46 MPG, costing 13.3p per mile.
- Cars between 1401cc and 2000cc: Average 42 MPG, costing 14.5p per mile.
- Cars over 2000cc: Average 34 MPG, costing a hefty 18p per mile.
For diesel drivers, the scale is similar: up to 1600cc costs 13p per mile, 1601cc-2000cc costs 14.2p, and engines over 2000cc incur a 16.3p per mile charge.
The Electric Vehicle Tax Shift
These figures become even more pronounced when compared to the running costs of electric cars. NimbleFins warns that fuelling a petrol or diesel car is currently 50% to 90% more expensive per mile than running an electric vehicle, even when charging on a standard domestic tariff.
However, a major change is on the horizon. The Labour Party government has proposed a new "pay per mile" car tax, framed as a "matter of fairness" to address a growing financial gap as more drivers switch to electric cars. Currently, EV owners pay no fuel duty, while the average petrol driver pays around £600 annually in duty for driving approximately 6,100 miles.
The new system, scheduled to take effect in April 2028, will introduce a mileage-based charge:
- Electric vehicles (EVs): 3p per mile.
- Plug-in hybrid vehicles: 1.5p per mile.
This means an EV driver covering 10,000 miles a year would pay an additional £300 in tax. While this introduces a new cost for zero-emission drivers, it remains dramatically lower than the current per-mile fuel costs faced by owners of petrol and diesel cars, cementing the long-term cost advantage of electric mobility.
