Asked by: Bradley Thomas (Conservative - Bromsgrove)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of changes to electric Vehicle Excise Duty on the use of internal combustion engine vehicles.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
As announced at Budget 2025, the Government is introducing Electric Vehicle Excise Duty (eVED) from April 2028, a new mileage charge for electric and plug-in hybrid cars, recognising that electric vehicles (EVs) contribute to congestion and wear and tear on the roads but pay no equivalent to fuel duty.
The Government is also committed to ensuring that driving an electric vehicle is an attractive choice for consumers; the eVED rate paid by electric car drivers will therefore be half the equivalent fuel duty rate paid by the average petrol/diesel driver, meaning that it will still be cheaper to own and run an EV for the majority of EV drivers, with a reduced rate for plug-in hybrid drivers.
The Government has set out the expected impacts of eVED and other Budget measures, including Exchequer and behavioural impacts, in the Budget 2025 Policy Costings document at GOV.UK.
There are uncertainties, but the number of internal combustion engine cars is still expected to fall over time as electric car sales increase; EV sales are forecast to more than triple from nearly 0.5 million sales in 2025/26 to around 1.6 million by 2030/31.
Asked by: James McMurdock (Independent - South Basildon and East Thurrock)
Question to the Department for Transport:
To ask the Secretary of State for Transport, pursuant to her Department's press release entitled Boost for British business as government slashes cost of electric lorries by up to £120,000, published on 6 January 2026, how many and what proportion of lorries registered in the UK are electric lorries; and what estimate she has made of the potential increase in that number as a result of the announced subsidy.
Answered by Keir Mather - Parliamentary Under-Secretary (Department for Transport)
As of September 2025, there were 1,313 battery-electric HGVs on UK roads (VEH1103): https://www.gov.uk/government/statistical-data-sets/vehicle-licensing-statistics-data-tables.
The £18 million Plug-in Truck Grant Uplift announced on 6 January 2026, which runs until 31 March 2026, is estimated by the Department for Transport to support 195 battery-electric HGV sales. This equates to approximately 1.4% total HGV sales over January-March 2026. This is estimated to directly lead to 0.03MtCO2 emissions reductions over the zero emission (ZE) HGVs vehicles’ lifetime and is expected to support the acceleration of deployment of ZE HGVs in the UK, helping build a UK market for these vehicles which will increase their future adoption and help to deliver carbon budgets.
Estimates of the impact of the grant on ZE HGV sales are uncertain and will depend on demand. The truck grant is only confirmed to continue until the end of March 2026 so it is not possible to share 2030 fleet projections at this stage. Grant rates for any future truck grant from April 2026 will be published in due course.
Asked by: James McMurdock (Independent - South Basildon and East Thurrock)
Question to the Department for Transport:
To ask the Secretary of State for Transport, with to her Department's press release entitled Boost for British business as government slashes cost of electric lorries by up to £120,000, published on 6 January 2026, what estimate her Department has made of the number of lorries expected to be purchased using the announced grant by 2030.
Answered by Keir Mather - Parliamentary Under-Secretary (Department for Transport)
As of September 2025, there were 1,313 battery-electric HGVs on UK roads (VEH1103): https://www.gov.uk/government/statistical-data-sets/vehicle-licensing-statistics-data-tables.
The £18 million Plug-in Truck Grant Uplift announced on 6 January 2026, which runs until 31 March 2026, is estimated by the Department for Transport to support 195 battery-electric HGV sales. This equates to approximately 1.4% total HGV sales over January-March 2026. This is estimated to directly lead to 0.03MtCO2 emissions reductions over the zero emission (ZE) HGVs vehicles’ lifetime and is expected to support the acceleration of deployment of ZE HGVs in the UK, helping build a UK market for these vehicles which will increase their future adoption and help to deliver carbon budgets.
Estimates of the impact of the grant on ZE HGV sales are uncertain and will depend on demand. The truck grant is only confirmed to continue until the end of March 2026 so it is not possible to share 2030 fleet projections at this stage. Grant rates for any future truck grant from April 2026 will be published in due course.
Asked by: James McMurdock (Independent - South Basildon and East Thurrock)
Question to the Department for Transport:
To ask the Secretary of State for Transport, with reference to her Department's press release entitled Boost for British business as government slashes cost of electric lorries by up to £120,000, published on 6 January 2026, what estimate her Department has made of how much (a) carbon dioxide and (b) other pollutants will be prevented from being released as a result of the announced grant for electric lorries.
Answered by Keir Mather - Parliamentary Under-Secretary (Department for Transport)
As of September 2025, there were 1,313 battery-electric HGVs on UK roads (VEH1103): https://www.gov.uk/government/statistical-data-sets/vehicle-licensing-statistics-data-tables.
The £18 million Plug-in Truck Grant Uplift announced on 6 January 2026, which runs until 31 March 2026, is estimated by the Department for Transport to support 195 battery-electric HGV sales. This equates to approximately 1.4% total HGV sales over January-March 2026. This is estimated to directly lead to 0.03MtCO2 emissions reductions over the zero emission (ZE) HGVs vehicles’ lifetime and is expected to support the acceleration of deployment of ZE HGVs in the UK, helping build a UK market for these vehicles which will increase their future adoption and help to deliver carbon budgets.
Estimates of the impact of the grant on ZE HGV sales are uncertain and will depend on demand. The truck grant is only confirmed to continue until the end of March 2026 so it is not possible to share 2030 fleet projections at this stage. Grant rates for any future truck grant from April 2026 will be published in due course.
Asked by: Lee Anderson (Reform UK - Ashfield)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what recent assessment he has made of the potential impact of the banning of petrol and diesel car sales after 2030 on the British automobile manufacturing industry.
Answered by Chris McDonald - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Government remains committed to the transition to Zero Emission Vehicles, and to making sure the transition works for industry. That is why we introduced significant changes to the ZEV Mandate last year, allowing for greater flexibility in meeting the targets. We have also committed £4 billion in funding for DRIVE35, which is the biggest government investment in our automotive sector in decades. In addition, we are investing an additional £1.3 billion in the Electric Car Grant.
Asked by: Neil Duncan-Jordan (Labour - Poole)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of the decision to introduce a pay per mile levy on hybrid and EV drivers on their future choice of vehicle.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
As announced at Budget 2025, the Government is introducing Electric Vehicle Excise Duty (eVED) from April 2028, a new mileage charge for electric and plug-in hybrid cars, recognising that electric vehicles (EVs) contribute to congestion and wear and tear on the roads but pay no equivalent to fuel duty. The taxation of motoring is a critical source of funding for public services and investment in infrastructure
PHEVs have the capacity to drive in either electric or petrol mode and will continue to pay fuel duty on miles driven in petrol mode. In recognition of this, they will be subject to a reduced eVED rate of 1.5 pence per mile upon its introduction in April 2028 – half the rate that will apply to fully electric cars
Alongside the introduction of eVED, the Government is also providing generous additional support to incentivise the use of electric vehicles, including £1.3 billion of additional funding for the Electric Car Grant (ECG), £200 million for chargepoint rollout, and increasing the Expensive Car Supplement (ECS) threshold to £50,000 for EVs
New electric car sales are still forecast to more than triple from nearly 0.5 million sales in 2025/26 to around 1.6 million by 2030/31.
Asked by: Neil Duncan-Jordan (Labour - Poole)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of a tax of 1.5p per mile on drivers of hybrid vehicles.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
As announced at Budget 2025, the Government is introducing Electric Vehicle Excise Duty (eVED) from April 2028, a new mileage charge for electric and plug-in hybrid cars, recognising that electric vehicles (EVs) contribute to congestion and wear and tear on the roads but pay no equivalent to fuel duty. The taxation of motoring is a critical source of funding for public services and investment in infrastructure
PHEVs have the capacity to drive in either electric or petrol mode and will continue to pay fuel duty on miles driven in petrol mode. In recognition of this, they will be subject to a reduced eVED rate of 1.5 pence per mile upon its introduction in April 2028 – half the rate that will apply to fully electric cars
Alongside the introduction of eVED, the Government is also providing generous additional support to incentivise the use of electric vehicles, including £1.3 billion of additional funding for the Electric Car Grant (ECG), £200 million for chargepoint rollout, and increasing the Expensive Car Supplement (ECS) threshold to £50,000 for EVs
New electric car sales are still forecast to more than triple from nearly 0.5 million sales in 2025/26 to around 1.6 million by 2030/31.
Asked by: John Hayes (Conservative - South Holland and The Deepings)
Question to the Department for Transport:
To ask the Secretary of State for Transport, if she will make an assessment of the feasibility of the ban on the sale of new petrol and diesel cars from 2030.
Answered by Keir Mather - Parliamentary Under-Secretary (Department for Transport)
The Government has provided crucial certainty to industry by reinstating the 2030 phase-out date for new cars relying solely on internal combustion engines. We’re also investing over £7.5 billion to support drivers and manufacturers to make the switch to zero emission, including the £2 billion Electric Car Grant, to reduce the cost of new electric vehicles (EVs).
The certainty these commitments provide unlocks investment and benefits British consumers. More drivers than ever are choosing electric: November saw another month of increased sales, with EVs accounting for one in four cars sold.
Asked by: Jerome Mayhew (Conservative - Broadland and Fakenham)
Question to the Department for Transport:
To ask the Secretary of State for Transport, how many used electric vehicles were sold in (a) November 2025 and (b) each month since July 2024.
Answered by Keir Mather - Parliamentary Under-Secretary (Department for Transport)
The Department for Transport does not hold this information.
Asked by: Sarah Pochin (Reform UK - Runcorn and Helsby)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of the new taxation of electric vehicles on reaching the UK's net zero targets.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Government intends to create a fair tax system whilst ensuring that driving an electric vehicle (EV) remains an attractive choice for consumers; the transition to EVs is essential to meeting Net Zero targets.
As announced at Budget 2025, the Government is introducing Electric Vehicle Excise Duty (eVED) from April 2028. The rate of eVED for EVs will be half of the equivalent fuel duty rate paid by the average petrol/diesel driver, ensuring that EVs are cheaper to own and run for the majority of EV drivers. The Government is also providing generous additional support to incentivise the use of electric vehicles, including £1.3 billion of additional funding for the Electric Car Grant (ECG) and increasing the VED Expensive Car Supplement (ECS) threshold to £50,000 for EVs.
As set out by the OBR, the estimated net impact of eVED and other Budget measures, including the ECG and ECS, is 120,000 fewer new EV sales across the forecast period. This is against a baseline which assumes EV sales more than triple from 2025-26 levels by 2030-31, which means the net impact of eVED represents only 2% of total new EV sales in the period.
The Government has set out expected impacts from eVED and other Budget measures in the Budget 2025 Policy Costings document at GOV.UK: https://assets.publishing.service.gov.uk/media/692872fd2a37784b16ecf676/Budget_2025-Policy_Costings.pdf