Thousands of disabled benefit claimants across the UK have received a stark warning about new tax rules that will see them paying for every mile they drive in electric vehicles.
What's changing for PIP recipients?
The government has confirmed that from 2028, a new electric vehicle excise duty (eVED) will apply to all drivers - including those currently exempt from standard vehicle tax due to disability.
This revelation came after a PIP claimant wrote to The Guardian explaining their situation: "We have a wheelchair-accessible EV that we purchased. Our previous cars were exempt from vehicle excise duty. Will we have to pay the EV excise duty and the mileage charge?"
No exemptions for disabled drivers
In a disappointing response, experts confirmed that the new 3p per mile charge will not be waived for disabled drivers receiving Personal Independence Payment.
The Treasury's consultation documents clearly state: "eVED will apply to cars driven by those who are wholly or partially exempt from VED, but where their petrol or diesel equivalents would be subject to fuel duty."
While PIP claimants will maintain their existing exemption from the standard £195 annual VED for electric cars, they will now face the additional mileage-based charge.
Further complications for drivers
In another concerning development, the government has decided that mileage driven abroad will also be taxed under the new system.
The consultation document reveals that without a tracking scheme to monitor driving locations, the Treasury considers it "proportionate to prioritise privacy and simplicity over a system of checks to deduct non-UK mileage."
The new tax will be paid annually upfront based on total miles driven and will operate alongside existing vehicle excise duty when it launches in 2028.
