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16th Nov 2020

Drivers could be charged for using roads as Sunak looks to fill £40bn tax hole

Wayne Farry

The chancellor has so far refused to comment on the potential move

British drivers could face charges for using roads in the United Kingdom as chancellor Rishi Sunak looks to fill a tax hole totalling roughly £40 billion.

The shortfall in tax is believed to have come about due to the switch to electric vehicles and a subsequent drop in fuel duty as a result. Fuel duty, which is charged at 57.95p per litre on petrol or diesel vehicles, is expected to raise close to £28 million in taxes this year, though the government’s commitment to green vehicles and a reduction in emissions will see that number virtually disappear in the future.

According to a report in The Times, the move is increasingly likely, with Sunak said to be “very interested” in a new road pricing scheme. How exactly it would work remains to be seen.

Speaking to ITV News, the chancellor refused to give credence to the speculation, saying that he would not comment “on future fiscal policy”.

At present, the United Kingdom has just one major toll road in operation – the M6 toll road in the West Midlands, while drivers are also charged to use some tunnels and bridges.