The Chancellor has maintained the ‘benefit-in-kind’ salary sacrifice for EVs in an attempt to speed the growth of electric vehicles on UK roads.

The rate, currently rising one percentage point per annum until 2027/28, will stay whilst petrol and diesel tax rates will rise.

Increasing this differential is a ‘stick and carrot’ approach that gives drivers an incentive to use an electric company car, and will stay in place as the Government attempts to meet the 2035 goal for all new car sales be electric.

Reeves believes the measures could raise £400m in total as the tax on higher polluting vehicles raises yearly to a maximum of 37 per cent depending on their CO2 emissions.

Reeves also highlighted new carbon storage across Merseyside with multi-year investment into the technology and new funding for 11 new green hydrogen projects that will be “among the first commercial-scale projects in the world” at sites including Bridgend, East Renfrewshire and Barrow-in-Furness. Although thios was first started under the previous government.

She also confirmed funds for GB Energy to be set up in Aberdeen, funding for the Warm Homes Plan for energy efficiency support and insulation and funding for the Boiler Upgrade Scheme.

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