Skip to main content

UK considers road user charging

Expansion of EVs expected to create £40bn gap in fuel duty revenue which needs plugging
By Mike Woof November 17, 2020 Read time: 2 mins
The rise of EVs means UK government is considering charging motorists for road use (© ITS International)

Road user charging is being considered for the UK as a future means for raising revenue. 

The Times newspaper reports that UK chancellor Rishi Sunak has been given a paper on national road pricing by Treasury officials.

The plans are being revealed now as a way of generating revenue as the switchover from electric and diesel-fuelled vehicles to electric vehicles (EVs) continues. 

Petrol and diesel are heavily taxed in the UK, providing significant revenue for the British government. 

But as EV use grows, there is a need deliver another source of funding to replace the estimated £40 billion generated by duty on fuel.

The concept of road user charging is by no means new, having been mooted several times in the past.

But with far more EVs now on the roads, the concept has once again been suggested. 

Technology has advanced considerably in recent years and with most modern vehicles now featuring GPS systems, determining location would not be as difficult as previously. 

There are numerous different models being considered, though the most logical would be to set rates based on factors including distance travelled, whether journeys are made at peak times and if trips are made in congested urban areas. 

Drivers travelling at night along quiet country roads for example would be required to pay considerably less than those using busy urban routes during the peak rush hour times.
 

Related Content

  • PTV sets its sights on Smart City solutions
    February 9, 2017
    Making a city smarter not only relies on understand technological opportunities but also human decision-making, as Miller Crockart explains. Cities are about people – a fact that can easily be forgotten when experts talk about roads, healthcare and education as though they are abstract and unconnected monoliths rather than things people use. Understanding how and why people use services is vital for making decisions on how they can be optimised for maximum efficiency across inter-connected networks that for
  • Technology solution needed to counter mobile phone menace
    March 29, 2017
    With the UK set to increase the penalties for using mobile phones while driving, the RAC Foundation’s Steve Gooding considers what else can be done to combat this deadly distraction. The first mobile phone call was made in 1973, by an engineer working for Motorola. Today 4.7 billion people across the globe subscribe to a mobile service.
  • California pilots road charge as alternative to fuel tax
    October 17, 2016
    As the California Road Charge Pilot Program enters its fourth month, participant feedback indicates that 65 per cent of 3,191 respondents surveyed are satisfied with the program as a whole. The nine-month pilot was launched on 1 July 2016 by the California Department of Transportation (Caltrans) to test a pay-by-the-mile road funding model as a possible replacement to the fuel tax. Over 5,000 vehicles state-wide are enrolled in the pilot, testing various road charging reporting methods to compare how the
  • London’s strategy to tackle air quality problems
    October 21, 2014
    Colin Sowman talks to Matthew Pencharz, the man charged with charting London’s path between catering for traveller needs, conserving ancient buildings and conforming to modern air quality standards.