Lease Electric has met with local MP Sir Geoffrey Clifton-Brown to raise concerns about the Government’s proposal to introduce a pence-per-mile tax for EVs (eVED).

The car and van leasing firm has said it recognises the Government’s need to develop a long-term replacement for the fuel duty, but believes the eVED proposal risks being administratively complex, costly to implement and potentially unfair to drivers during a critical period of EV adoption.

During the meeting, Lease Electric presented an alternative approach designed to support revenue generation while avoiding unnecessary administrative burden and reducing the risk of loopholes or misuse.

Rather than introducing a new per-mile charging scheme, the Cotswold-based firm proposes a model that would draw on the existing vehicle excise duty (VED) framework, supported by data already published by vehicle manufacturers, and based on the miles/kWh EV efficiency metric that’s now familiar to many drivers.

Colleagues from the British Vehicle Rental and Leasing Association (BVRLA) were also present at the meeting to provide insight into their research into the eVED-style systems.

The BVRLA highlighted findings from a recent visit to Iceland, where a pence-per-mile model has reportedly had adverse effects on EV uptake, and is widely viewed as an administrative complexity.

The association maintains that the proposed eVED system should not be introduced and that the future of road pricing must be developed collaboratively to ensure a fair solution.

Thomas McLennan, director of policy and public affairs at the BVRLA, said: “Our members are central to delivering the UK’s transition to zero-emission transport, but they need stable, workable policy.

“eVED is the wrong policy at the wrong time, we are urging Government to reconsider it to ensure drivers continue having the confidence to switch to electric in confidence.”

As a BVRLA member, Lease Electric said it is committed to working constructively with policymakers to develop a fair and workable alternative, recognising that the Government must replace lost revenue over time.

Lease Electric believes that incorporating efficiency-based measures through the existing VED system could provide a more pragmatic and equitable route to taxation, while supporting the Government’s broader aims of decarbonisation and cleaner transport.

Following the meeting with Sir Clifton-Brown, Lease Electric has now written an open letter setting out its concerns and formally proposing the alternative model.

Clifton-Brown said: “It was a real pleasure to meet Richard Markey and his team, who have formed their own company providing leasing arrangements for electric cars to a number of Gloucestershire’s leading businesses. The company is constantly expanding at it was great to spend time with them, given their expertise in the electric vehicle market.

“Richard gave an informative presentation covering a number of subjects on promoting electric cars, and we discussed several ways in which the sector could be further expanded.”