UK Explained
Bills · Became law

Taxes on energy and vehicles

The bill has been signed off by the King and is now law.

In plain words

This law raises the electricity generator levy from 45% to 55%, raises the approved payment for employees using their own vehicle for work from 45p to 55p a mile, and gives some lorries a 12-month break from vehicle tax.

Summary drafted by AI, checked by Jonathan on 4 Oct 2026. Source: Parliament Library briefing.

Official title: Taxation (Energy and Vehicles) Act 2026

  1. 1Introduced1st reading
  2. 2Main debate2nd reading
  3. 3Detailed checksCommittee
  4. 4ChangesReport stage
  5. 5Final vote3rd reading
  6. 6Other houseLords or Commons
  7. 7Becomes lawRoyal Assent

Nothing more. This bill is now law.

Put forward by Rachel Reeves, Lord Livermore.

Votes so far

DateVoteCountResult
1 Jul 2026Taxes on energy and vehicles: a proposed change177 for, 308 againstRejected
1 Jul 2026Taxes on energy and vehicles: a proposed change173 for, 282 againstRejected
1 Jul 2026Taxes on energy and vehicles: a proposed change80 for, 281 againstRejected
Full timeline
DateStageHouse
24 Jun 20261st readingCommons
1 Jul 20262nd readingCommons
1 Jul 2026Committee of the whole HouseCommons
1 Jul 20263rd readingCommons
2 Jul 20261st readingLords
14 Jul 20262nd readingLords
14 Jul 2026Committee negativedLords
14 Jul 20263rd readingLords
15 Jul 2026Royal AssentUnassigned

In the bill’s own words: A Bill to Increase the rate of electricity generator levy and mileage amounts relating to income tax and to provide for temporary rates of vehicle excise duty for goods vehicles.

Official page on Parliament’s site

Source: Parliament Bills API · Commons votes from the Commons Votes API.