Should motorists be taxed based on how far they drive? Fresh calls for pay-per-mile scheme that could cost the average driver £444 a YEAR

A pay-per-mile road tax scheme is again being mooted in a move that would meaning those living in remote areas and most reliant on their cars would be stung hardest by the rules. There's mounting speculation that the Treasury could bring in pay-per-mile tax instead of VED in an attempt to plug the road taxation black hole as the switch to EVs ramps up Pressure is said to be mounting on the new Chancellor of the Exchequer to announce details of the scheme in the October Budget, after it was revealed the Treasury was keen for the former government to introduce the highly controversial measure. The Government will start charging EV owners Vehicle Excise Duty from April 2025 to maintain the stream of Treasury revenue from car tax as more motorists shift to electric models Despite the eagerness from Conservative peers, the Government shied away from introducing pay-per-mile road pricing because of how unpopular it could be with voters. It would replace the current VED system or 'road tax' which taxes a vehicle depending on vehicle type, age, fuel type and crucially CO2 emissions Pay-per-mile – what is it? As the name suggests, pay-per-mile road tax would see drivers pay tax based on the number of miles they drive.