Budget Changes for Motoring

marathonic

Except for the first year, taxing a Fiat 500 will cost the same annually as taxing a Ford Mustang 5.0 V8 :rotfl:

Herzlos

AdrianC wrote: »

£40k list price.

Before/after optional extras?

I can see a lot of £39,999 cars with loads of aftermarket factory fits in the future.

AdrianC

Fine detail to be announced, but co.car BiK already takes account of optional extras in the list price, and CO2 VED varies according to exact spec - option wheels/tyres, particularly heavy options like panoramic roofs.

ioscorpio

http://www.moneywise.co.uk/news/2015-07-08/summer-budget-2015-new-vehicle-excise-duty-rates

What a waste of time it has been getting us to buy small lower co2 emission cars, if they are now going to be taxed the same as large high co2 emission cars.

Car_54

ioscorpio wrote: »

http://www.moneywise.co.uk/news/2015-07-08/summer-budget-2015-new-vehicle-excise-duty-rates

What a waste of time it has been getting us to buy small lower co2 emission cars, if they are now going to be taxed the same as large high co2 emission cars.

They aren't. The new rates will only apply to new cars from 2017.

ioscorpio

I know that Car 54, but we will all replace our current cars in the future, so is it the goverment's thinking that trying to deter people from buying Chelsea tractors, has not worked.

mrmot

ioscorpio wrote: »

http://www.moneywise.co.uk/news/2015-07-08/summer-budget-2015-new-vehicle-excise-duty-rates

What a waste of time it has been getting us to buy small lower co2 emission cars, if they are now going to be taxed the same as large high co2 emission cars.

They get the car manufacturer to fit anti pollution devices that increase the levels of CO2 emitted and then tax you on that CO2, it's all a big con by successive governments. None of my cars have such devices.

Oldfatgrumpy

I've tried but can't find any figures, but I doubt that the annual income from VED if spent solely on roads would be enough for all the new build and annual maintenance of roads. Has anyone crunched those numbers?

AdrianC

Oldfatgrumpy wrote: »

I've tried but can't find any figures, but I doubt that the annual income from VED if spent solely on roads would be enough for all the new build and annual maintenance of roads. Has anyone crunched those numbers?

VED income is currently more than the annual road maintenance budget.

almillar

It's £495/year currently, and there will be plenty under £1500 now. Soon they'll get to the point where some cars cost more to tax annually than they cost to buy.

Thanks, yes. If this was brought in to make people think about the emissions from their cars, to help the environment, fair enough, hopefully that job's been done. But now, perfectly good cars (very often with lower emissions than pre-2006 cars!) will be uneconomical to run and could be scrapped. That's not economical or ecological!

Re: taxing economical vehicles - it has worked. The taxing has made the public WANT lower CO2 cars. That's made the manufacturers bring the CO2 emissions down. Although the VED benefit will be lost for new cars from 2017, cars as a whole will be emitting massively less CO2 than before. This would not have happened otherwise, and I don't think it will be tolerated if they jump back up again!