The boss of Ford UK has warned Rachel Reeves against increasing taxes on electric vehicles in next week’s budget, saying it could discourage drivers from making the switch away from petrol and diesel cars.

Lisa Brankin, the managing director of Ford UK, said it was “certainly not the right time” to introduce new levies on EVs, amid reports that the chancellor could implement a new pay-per-mile charge on electric vehicles (EVs) from 2028.

The proposed plan would introduce a charge of 3p a mile for EVs on top of other road taxes, to help offset falling tax revenue from petrol and diesel cars.

View image in fullscreen Lisa Brankin, the managing director of Ford UK. Photograph: Ford

“That [policy], in the face of really fragile demand for electric vehicles, is just another brake,”

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