RUMOURS of a pay-per-mile scheme being introduced have prompted one South Wales MS to seek answers from the UK Government in Westminster. 

Reports have been circulating that the Labour UK Government could roll out a pay-per-mile scheme as part of the upcoming budget in October.

A pay per mile scheme would sees road users paying a charge based on how far they travel in a given time period.

The scheme would work by either using cordons on certain roads, in-car GPS or odometers, or satellite monitoring to work out how far people are travelling. 

In other countries where this is in use, such as Singapore, it has been successful, and it has been suggested by Westminster that a similar scheme in the UK could be used to balance the books.

Pay-per-mile’ schemes work using either cordons on specific roads, in-car GPS or odometers, or satellite monitoring, with road users often paying in advance.

The scheme could be imposed on drivers of zero emission vehicles, such as electric cars. 

Natasha Asghar, the South Wales East MS, who is also Shadow Transport Minister, has written to the Secretary of State for Transport, Louise Haigh MP, to find out more details about the mooted project.

In her letter to the Secretary of State, Natasha Asghar MS said:

“A pay-per-mile system is something I have been incredibly concerned about for some time, having raised the prospect and potential impacts of such in the Welsh Parliament; the negative impact it is likely to have on so many, particularly on working families juggling the school run alongside work and businesses who rely on cars and vans to stay afloat, whilst also disproportionately hurting residents in rural areas.

“I note that the average salary for full-time Welsh employees as of 2023 was £32,371, far below the London average of £44,370.

“An overhaul from the current system to that of ‘pay-per-mile’, would impact those on lower incomes most severely, and therefore naturally punish thousands of working families right across Wales.”

Natasha Asghar MS asked the Secretary of State if an impact assessment had been carried out to find out how families, businesses and the economy could be impacted by a pay-per-mile scheme.

She also called for details to be released on how the rate would be calculated and what exemptions, if any, would be introduced.

Natasha Asghar MS said:

“Reports of a pay-per-mile scheme being introduced has of course sounded alarm bells with motorists all across Wales.

“Whilst no concrete announcement has yet been made, it is not at all inconceivable that Labour will go down this route – particularly in light of the Prime Minister’s recent comments that the upcoming budget will be ’painful.’

“Although I hope this idea is a non-starter, if the powers that be push ahead with this then we must know the scale of the damage it will inflict on families, workers, businesses, and the wider economy.

“Let’s hope the Labour Party decides against continuing its war on motorists, but only time will tell.”