One in three drivers are mulling over switching to 'black box' - or telematics - car insurance amid fears of a pay-per-mile car tax in the UK. The Labour Party government has been told by numerous thinktanks to introduce a pay-per-mile car tax model.

But Hastings Direct, a car insurance firm, says half of middle-aged drivers would install telematics to save costs amid fears of a pay-per-mile model. Some thinktanks reckon Chancellor Rachel Reeves should introduce a 9p fee.

Jennifer Hammond, head of brand and marketing at Hastings Direct, said: "Telematics insurance can be useful for drivers to prove they can drive safely and it's great to see older drivers exploring this as an option for their insurance policy.

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"As the cost of living continues to rise, it's interesting that more motorists are considering telematics insurance to help save money on their car insurance."

Black box insurance uses technology to help drivers save money and promote safe driving. A small telematics device, also referred to as a black box, is used to assess your driving habits like speed and braking.

This data helps insurers adjust your premiums based on how safely you drive, potentially lowering your costs if you're a careful driver.

This insurance offers more control over what you pay and rewards safe driving habits. It's popular with drivers who face high premiums.

The detailed data from the telematics device can sometimes assist in quickly resolving claims if an accident occurs, providing added security on the road. The data can also help protect you against false claims from other drivers.

Getting black box cover can help you to save on your car insurance costs, as the price will be based on your driving habits and not assumptions about factors such as your age.

According to MoneySupermarket data, from BBC and ITV star Martin Lewis' website, new drivers save an average of £379.50 a year with a telematics policy.

Pay-per-mile car tax leaves thousands of drivers considering 'switching' - Birmingham Live