IFS Zooms In: The Economy
How should the government tax electric cars?
In 2030, motorists in the UK won't be able to buy fossil fuel powered vehicles from showrooms anymore. To incentivise a shift to an all-electric future, the government is giving considerable tax breaks to the owners of electric vehicles (EVs) to stimulate uptake.
However, as more and more people move away from fossil fuels, the government stands to lose billions of pounds in tax revenue - unless it decides to tax EVs.
In this episode, we speak to Stuart Adam, IFS tax expert and Steve Gooding, Director of the RAC Foundation to discuss how the government could tax EVs in future.
Support the IFS: https://ifs.org.uk/donate