Chinese automotive brands Jaecoo and Omoda have preemptively addressed upcoming UK road tax changes by announcing a direct rebate for buyers of their electric vehicles. The move comes in response to the government’s planned pay-per-mile road tax, set to take effect in 2028, which is projected to cost the average EV driver hundreds of pounds annually.
Rebate Details and Eligibility
Both Omoda and Jaecoo are offering a £600 ‘EV Tax Rebate’ designed to offset the new 3p-per-mile tax for the first 20,000 miles driven. This incentive is exclusive to customers who finance their purchases through Omoda or Jaecoo financial services on a 48-month agreement.
Context: Why This Matters
The UK’s shift to a pay-per-mile road tax system is intended to replace lost revenue from declining fuel duty as electric vehicle adoption rises. While the government argues this ensures fair road usage contributions, the policy has drawn criticism for potentially discouraging EV ownership, particularly for high-mileage drivers.
The rebate effectively undercuts this concern for buyers of the Omoda E5 and Jaecoo E5, the two models eligible for the offer. Both vehicles share the same underlying platform, offering a competitive solution for drivers wary of future tax burdens.
Model Specifications
The rebate applies to the higher-spec trims of both vehicles: the Omoda E5 Noble and the Jaecoo E5 Luxury.
- Omoda E5 Noble : Includes features such as a 360-degree parking camera, electrically adjustable front seats, sunroof, powered tailgate, and upgraded eight-speaker audio. It boasts a range of 267 miles and supports up to 130kW charging.
- Jaecoo E5 Luxury : Offers 18-inch alloy wheels, powered bootlid, noise-insulated windows, a 13.2-inch central display with wireless smartphone connectivity, a 540-degree exterior camera system, and a panoramic sunroof. Range is rated at 248 miles with up to 110kW charging.
Average Mileage and Tax Impact
According to industry estimates, the average EV travels roughly 8,740 miles per year. Under the new tax scheme, this would translate to an annual road tax of £262. The rebate is designed to exceed this amount, providing drivers with upfront savings.
The move represents a calculated response by Jaecoo and Omoda to mitigate consumer concerns surrounding the upcoming road tax changes, positioning their vehicles as financially advantageous options in the evolving EV market.
