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Reeves to announce £1.5bn boost in EV subsidies amid pay-per-mile concerns

Industry experts welcome extra incentives but fear a consultation on a mileage tax sends mixed messages

Drivers will be able to claim government subsidies to cut the cost of buying a new electric car until 2030 under plans to be announced by Rachel Reeves at next week’s budget.

The chancellor will unveil an extra £1.3bn for subsidies for new electric vehicles (EVs) and a further £200m for charging points, as she attempts to prevent the market for clean cars drying up amid concerns about a new pay-per-mile tax.

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