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High-tech data harvesting of 25 million devices sets the stage for upcoming pay-per-mile motoring costs. The UK government’s newly disclosed use of mobile network data to monitor millions of motorists is now being recognized as the foundation for a sweeping shift in national road taxation. While the initial O2-led study was branded as a "nanny state" research project, the most critical updates reveal that this data is directly informing the Treasury’s transition to a 3p-per-mile electric vehicle (EV) tax set to launch in April 2028, Daily Dazzling Dawn realised.
The Hidden Data Pipeline-The Department for Transport (DfT) exploited "O2 Motion" technology to track the movements of 25 million mobile devices, identifying EV users based on their digital footprints. Fresh details confirm that the surveillance captured users of O2, Virgin Mobile, Sky Mobile, and Tesco Mobile who visited EV-related websites or used charging apps at least twice a month. This intelligence was not merely for research; it was a pilot program to test the feasibility of monitoring vehicle usage as fuel duty revenue begins to plummet.
Shifting to the 2028 Pay-Per-Mile Reality-The most significant development is how this data bridges the gap to the Electric Vehicle Excise Duty (eVED). Following the Autumn Budget, the government confirmed that from 2028, EV drivers will be charged a standard rate of 3p per mile, while plug-in hybrids will pay 1.5p. The O2 study proved that while mobile data could identify general "crowd movement," it was too unreliable for precise individual billing. Consequently, the government has pivoted, deciding to enforce the new tax via annual MOT mileage readings rather than real-time phone tracking—a move intended to calm public surveillance fears.
New Legal Walls for Data Privacy-In response to the outcry over "surveillance by stealth," the UK has accelerated the Data (Use and Access) Act 2025. This landmark legislation, which received Royal Assent in June 2025, grants the newly renamed Information Commission (formerly the ICO) enhanced powers to penalize organizations that share consumer data without transparent consent. The act introduces strict "meaningful control" requirements, meaning the exact methods used by O2 to package and sell "anonymized" browsing habits for government studies are now under intense regulatory scrutiny.
Political Fallout and Motorist Impact-Under the current administration, the Department for Transport is attempting to distance itself from the Conservative-era O2 study, calling it a "bizarre attempt" at oversight. However, industry experts warn that the 2028 tax plan is the inevitable result of the data collected during that period. With the government facing a multi-billion pound hole in fuel duty receipts, the focus has shifted from how they track you to how much they will charge you. Drivers covering the UK average of 7,400 miles can expect an annual bill of approximately £220 under the new system.
