We’re entering a new era for electric vehicles. April 2028 signals the end of the long-standing tax exemptions for electric vehicles (EV) and absorbs them into mainstream motor rules. In just over two years’ time, electric car drivers must pay a road charge of 3p per mile (plug-in hybrid drivers will pay 1.5p per mile) with rates going up each year, aligned with inflation.
Amanda Webb, CEO at FixMyCar
While 2028 may seem far off, preparing for this change is urgent. The year 2026 represents a critical window as the last full year before drivers must factor running costs into their EV purchase decisions. The landmark tax change is a seismic shift in how motorists evaluate EVs, shifting the conversation from purchase incentives and tax exemptions to focus on the total cost of ownership, maintenance transparency, and long-term reliability. This subsequently changes the role of the aftermarket industry. Garages and other players who wish to remain competitive must learn to adapt to evolving EV priorities and changing driver concerns. Those that succeed will be the ones who start planning for the shift now and can expertly guide drivers as they navigate the change.
The reshaped EV value proposition
The new pay-per-mile rules for EVs, and the additional costs this entails, reshapes the EV value proposition. EV ownership has been climbing in recent years – one in five new cars sold in 2025 were electric – and it’s estimated there are now more than 1.3 million electric vehicles on UK roads. The end of the EV tax exemption will hit the wallets not only of these current drivers but influence the decisions of future would-be EV motorists.
Key industry players have already recognised the importance of this change and how it affects their relationship with customers. In December, Octopus EV announced it would cover the new pay-per-mile tax for all existing customers, until the end of their lease, so there’d be no extra surprise charges for those already driving EVs. But the impact goes far beyond EV leasing companies. For businesses in the automotive industry, and especially in the aftermarket sector, the end of pay-per-mile exemptions represents a substantial challenge. With increased operating costs for driving an EV, electric drivers will be forced to take a much more careful, considered approach to servicing and maintaining their vehicles.
The EV service gap
The increased attention on EV maintenance is an issue for the motor industry. The sector is already struggling with a significant service gap and the availability of qualified EV technicians being very thin on the ground. In August 2024, the IMI predicted a shortfall of 3,000 EV technicians by 2031, while outlining the vast regional disparity in technicians: 9.5% of technicians in the East of England were EV-trained at the time, compared to just 3.7% of those in Northern Ireland. With the pay-per-mile change making EV maintenance urgent, motorists will be desperate for dependable, transparent repair options near them and the industry must find a way to meet this need. At the most basic level, this means making EV training a priority right across the country.
The importance of building trust
However, as in any industry, an emerging need leads to new opportunities. As more EV drivers seek reliable garages, businesses and mechanics who offer an excellent service stand to win big. Despite increasing financial pressures, surprisingly it’s not the cost that’s the deciding factor for motorists: less than a third (29%) of drivers consider low prices important in their choice of garage, whereas the majority (57%) consider a convenient and local garage location. Furthermore, just under one in two (47%) say clear, transparent work and pricing is important in their decision, and 31% cite good reviews. All these factors have more sway with motorists than price.
Garages, then, who wish to gain from the influx of EV repairs must take these insights to heart. Now is the time they should be investing in their EV services, taking the time to build and establish credibility in the lead up to April 2028. Motorists searching mechanic reviews in a few years’ time will see garages with EV reviews from years back and those with barely a few recent mentions – and it’s not hard to guess which ones they’ll pick.
Transparency in services should also not be underestimated. There’s still a lack of knowledge among drivers around repairs, tests, and servicing and the relatively new technology of electric vehicles intensifies this even more. Taking the time to demystify EV rules and maintenance, with clear, transparent, well-explained pricing, will go a long way in establishing crucial driver trust and winning their custom.
The end of the pay-per-mile EV exemption has started a ticking clock for the motor industry. The EV sector – and the industry as a whole – needs to catch up fast with the increased demand for maintenance and urgently close the EV service gap. Smart garages, and other businesses, will be using this interim period to refine their EV offering, establishing credibility with motorists early on and building rewarding long-term relationships.
Author: Amanda Webb, CEO at FixMyCar
