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Motorists could be taxed for driving IN FRANCE under Rachel Reeves' new plan

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Motorists could be taxed to drive in France under Rachel Reeves' plan to extend her pay-per-mile levy. Set to be announced in November's Budget, the plan would make electric car drivers pay the 3p tariff per mile even if they are not using UK roads.

Critics slammed Rachel Reeves' expected move, as drivers would "effectively be paying tax twice", once with her pay-per-mile scheme, and secondly with France's motorway tolls. When the rates are set to be introduced in 2028, drivers would pay £32.46 for a 1,082-mile round trip from Calais to the wine region of Bordeaux in tax alone, not taking into account fuel, Channel Tunnel and toll costs.

Brian Macdowall of the Association of British Drivers dubbed the plan "utterly illogical", saying: "There is absolutely no justification for introducing an overreaching and bureaucratic charging regime, which is going to seriously inconvenience people," reports The Telegraph.

EV owners will be asked to estimate the number of miles they would drive in the upcoming year, aligning with the vehicle excise duty (VED). Hybrid cars will also be subject to the tax at a lower rate.

Any leftover money will carry over into the next year, but if the driver exceeds their estimates, they would have to pay a top up. The scheme is believed to be a means for the government to claw back revenue lost from EV drivers in fuel duty.

Edmund King, president of the AA, warned: "You would effectively be paying tax twice - to both the French and UK Government.

"I can't really see any practical way around it. It would be pretty bureaucratic to have to check your mileage at Dover and have it stamped on some kind of certificate to say you're leaving the country for two weeks.

"There are already concerns about the extra checks at the borders, so I think it would be a nightmare. It seems EV drivers would have to pay double taxation."

The UK would not be the first place to introduce mileage schemes, however, Iceland and New Zealand do not have the same driving links to other countries.

Paul Holland, of Corpay, a payments firm used by fleets, said: "The UK's close proximity to Europe and Ireland will materially penalise people who take their cars abroad. It would clearly miss the point."

A Treasury spokesman said: "Just as it is right to seek a tax system that fairly funds roads, infrastructure and public services, we will look at further support measures to make owning electric vehicles more convenient and more affordable."

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