New road tax would cover lost fuel revenue in shift to electric vehicles


 

The Institute for Fiscal Studies has recommended a new system of road pricing to compensate for the £28bn loss in revenue from fuel duty as the UK makes the gradual shift to electric vehicles. In a new report, the FSI said the new measures should apply to all road vehicles and would therefore impact fleet operators. A 2p/litre cut in fuel duty rates would cost about £1bn a year, the IFS confirmed. But revenue from existing motoring taxes, which raise […]