Road tax reform for new cars

[Dal]

New Vehicle Excise Duty (VED) bands are to be introduced, with revenues eventually going towards a new Roads Fund, the chancellor has announced.

For cars registered after 1 April 2017, VED will be transformed into three bands - zero, standard and premium.
George Osborne said the "standard" charge of £140 would cover 95% of all cars. Revenues will be paid into the Roads Fund from 2020-21.

The chancellor also said that fuel duty would remain frozen this year.

Mr Osborne said: "There will be no change to VED for existing cars - no one will pay more in tax than they do today for the car they already own."
He added that the £140 rate was less than the average £166 that motorists pay at present.
However, the new rates will not apply in the first year after registration. There will be special first year rates linked to a car's carbon emissions.
Steve Gooding, director of the RAC Foundation, said: "Costs for many drivers will rise, but two things help offset the financial pain.
"One is that new car prices have dropped in real terms over many years and the other is that money raised from VED will be ring-fenced for road investment, something not seen since the 1930s."

http://www.bbc.co.uk/news/business-33447106" onclick="window.open(this.href);return false;

 

[yippeekiay]

That looks a much fairer system although I still can't understand why they can't simply put it on the price of fuel, the more you use, the more you pollute so the more you pay. So simple the mind boggles as to why it can't be implemented.

Same for all house utilities too, scrap standing charges and put it on the unit rate, more use = more cost, simple again.

 

[Catweasel]

That looks a much fairer system although I still can't understand why they can't simply put it on the price of fuel, the more you use, the more you pollute so the more you pay. So simple the mind boggles as to why it can't be implemented.

Same for all house utilities too, scrap standing charges and put it on the unit rate, more use = more cost, simple again.

Far too simple for a politician, and think of all the jobsworths who would have to be found other useless paper-pushing jobs

 

[yippeekiay]

I can believe it. I think they over complicate a lot of things in life so as to justify their jobs and the time it takes them to actually do anything.

 

[Dal]

Something else from the budget... Insurance tax is going up 3.5% so expect that'll be passed directly on to the customer.

http://www.insuranceage.co.uk/insurance-age/news/2416881/biba-extremely-disappointed-at-ipt-rise-to-95" onclick="window.open(this.href);return false;

 

[Neil]

Great. I haven't been able to get my insurance below £500 for years now, and that's despite having maximum no claims, no accidents and living in a decent postcode.

 

[Dal]

Oh dear that's a bit crap.

I'd best not mention that I've never paid more than £400p.a. since I started driving in 1989 and that was for my first Metro!