Car tax changes could force drivers to pay £7,000 more to use roads

Car tax changes could force drivers to pay thousands of pounds to use roads, according to new research.

Analysis by FairFuel UK found that motorists are predicted to spend an eye-watering £1,402 on petrol costs each year.

It also comes with a total of VAT and fuel duty, as well as a £150 fee for Vehicle Excise Duty (VED) if a car is over one-year-old.

Now with a new pay per mile system, motorists across the country could be forced to pay five times more to use the roads.

Someone who travels 12,500 miles would spend £1,750 on taxes, while those doing 15,000 miles are paying £2,000.

However, prices could dramatically rise based on a pay per mile system priced at around 75p.

Motoring expert Nick Freeman told Express.co.uk a rate of 10,000 miles would see costs increase to £7,500 year.

Overall charges will increase to £9,350 for those who travel 123,500 miles and £11,250 for those who drive 15,000 miles each year.

It has been reported the Treasury is considering a new pay per mile system to help fill a £40billion gap in public finances.

With Brits switching to electric cars, the government will lose revenue generated by VED and fuel duty which electric cars don't pay.

The Department for Transport (DfT) said it will "ensure" motoring taxes keeps pace with changes on the road.

It added any changes to the tax system would be considered by Chancellor Rishi Sunak with any further steps announced.

Previously, the new car tax changes were blasted for being "bad for the economy" as they could impact the "poorest drivers" in the UK.

If Mr Sunak goes ahead with raising the costs, it will be the first time fuel duty is increased in almost a decade.

It has been reported the Chancellor would consider the 5p per litre hike on fuel duty in his next Budget.

Since 2011, fuel duty has remained at 57.95p with successive freezes costing the Treasury over £100billion.

But a report from FairFuel and the Centre for Economics and Business Research (CEBR) warned any rise would generate little revenue.

Within 20 years the amount of extra revenue would only be around £50million to £90million.