Following the announcement of a pay-per-mile tax for electric cars in the budget, Omoda and Jaecoo have launched their own rebate scheme.
The UK Government’s new Vehicle Excise Duty (VED) system will apply to electric and plug-in hybrid cars, taking effect from April 2028.
It means electric vehicle drivers will pay a road charge of 3p for every mile driven, with plug-in hybrids charged 1.5p per mile.
However, Chinese brands Omoda and Jaecoo have launched finance deals that aim to offset the cost of the pay-per-mile scheme.
Offsetting future VED charges
Those purchasing either a Jaecoo E5 or Omoda E5 electric SUV can receive a discount equivalent to between two and three years’ worth of the new pay-per-mile EV tax.
It adds up to a discount of £600 from the car’s purchase price, the same as covering 20,000 miles under the 3p-per-mile scheme.
To qualify for the EV Tax Rebate, customers need to order through Omoda and Jaecoo’s national dealership network, and make use of an approved 48-month finance agreement.
The 2025 Omoda E5 comes with a 61kWh battery pack that offers an official range of up to 267 miles. Opting for the Jaecoo E5 brings the same 61kWh battery, but a range of 248 miles when fully charged.
Smoothing the EV transition
Taking the EV Tax Rebate into account, monthly prices for the Omoda E5 start at £339 on a 48-month deal. This includes a £3,426 customer deposit, plus a £3,750 discount through the government’s Electric Car Grant.
Opting for the Jaecoo E5 will see customers pay £379 per month on a 48-month term. This requires a £4,760 customer deposit, in addition to the Electric Car Grant discount.
Gary Lan, CEO of Omoda and Jaecoo UK, said: “Today’s budget introduces a new 3p-per-mile EV tax from 2028-2029, and we want to make the transition to electric driving as smooth as possible for our customers immediately – not three or four years from now.
“Our EV Tax Rebate for the Omoda E5 and Jaecoo E5 effectively covers the first few years of this new tax, giving drivers the equivalent of thousands of miles of zero-cost motoring. These vehicles represent the forefront of electric mobility, and this initiative reflects our commitment to making clean, efficient, and intelligent transportation more accessible to UK drivers from day one.”
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