WikiWirral is where great friendships are made.
Forum Statistics
Posts1,007,841
Topics74,539
Members12,742
Forums66
Posts in last 24hrs44
Most Online7,831
Apr 8th, 2013
Who's Online Now
53 registered members (alan128, 11 invisible), 1,132 guests, and346 spiders.
Key: Admin, Global Mod, Mod
Social Media : Follow Us


Popular Topics(Views 7days)
New General Forums
How The Victorians Built Britain - Sewers
by diggingdeeper. 8th Sep 2018 11:09pm
Bavarian Cleavages !
by granny. 8th Sep 2018 11:48am
Mr Jeremy Fisher 2017 50p piece
by Peter0787. 7th Sep 2018 12:35pm
River Mersey
by granny. 6th Sep 2018 11:34pm
New Wirral History
Mersey Tunnel tolls, 1934
by yoller. 21st Sep 2018 9:32am
Family tree
by Hannah90. 5th Sep 2018 6:02pm
When were Ivy Street houses built?
by yoller. 28th Aug 2018 4:40pm
Hope Street New Brighton
by cutespam. 25th Aug 2018 10:00pm
1970's Murder in Central Park, Wallasey
by cutespam. 4th Aug 2018 11:28am
Forum Tips
Photo Gallery Forums
No more bridge, never be the same
Over Exposed Crash Site
Topic Replies
Labour Party Conference - Liverpool
by granny. 24th Sep 2018 1:40am
What song are you listening to?
by Dilly. 23rd Sep 2018 8:50pm
£795,000 for a football pitch ?
by diggingdeeper. 22nd Sep 2018 11:07pm
More threats to Wirral's Green Belt
by diggingdeeper. 22nd Sep 2018 7:48pm
Salt and Blood Pressure
by diggingdeeper. 22nd Sep 2018 7:42pm
Ipad mini
by lincle. 22nd Sep 2018 7:29pm
Mersey Tunnel tolls, 1934
by yoller. 22nd Sep 2018 7:18pm
M53 Junction 1
by Moonstar. 22nd Sep 2018 2:58pm
Electric Bass Guitar / and amp
by gerrymoore. 22nd Sep 2018 8:54am
September
M T W T F S S
1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 30
Recent Posts : What's On ?
Giant Puppets Wirral
by oldpm01. 13th Sep 2018 3:53pm
Wirral Heritage Week
by granny. 10th Sep 2018 9:31am
Previous Topic
Next Topic
Print Topic
Rate Topic
Falling revenues prompt vehicle tax reform. #703029
19th Jun 2012 9:08am
19th Jun 2012 9:08am
Joined: Jul 2011
Posts: 2,620
some where else
C
Clive Offline OP
Forum Master
Clive  Offline OP
Forum Master
C
Joined: Jul 2011
Posts: 2,620
some where else
Greener cars mean cheaper vehicle tax but that may be set to change.

Most governments have a policy of "if it moves, tax it", and that's certainly always been the case with cars.

Excise duty on road vehicles was first launched in the 1888 Budget and a new excise duty specifically for motor vehicles was introduced in 1920.

Vehicle Excise Duty (VED) is collected and enforced by the Driver and Vehicle Licensing Agency (DVLA).

It's often referred to as road tax but this is inaccurate as the money raised doesn't go towards upkeep of the roads but is diverted into central government revenues.

Money raised
Currently VED raises about 6 billion a year for the Treasury.

However, official forecasts show that is set to change because the current system and changes in consumer buying habits have led to falling revenues.

Since 2005, VED has been graduated, with higher rates for gas-guzzling cars and lower or free rates for cars with low emissions.

For example, VED for cars in top band M is 1,030 on first Sale and 475 a year thereafter. This includes most Range rovers and the Porsche 911.

For mid-range cars in band H, such as some models of the Ford Focus and VW Golf, the cost is 275 in their first year and 195 in future years.

Rewards for fuel-efficiency
However, low-emission cars such as the Nissan Leaf, Toyota Prius and Ford Fiesta Econetic in band A, with no VED payment required.

With the rising cost of Fuel and increased car insurance premiums, many motorists are opting for greener vehicles that cost less to fill up and have lower, or no, VED costs.

"This policy has proved successful in that motorists are increasingly buying more fuel-efficient cars," says Kieran Puffet, editor of car buying website Parkers.

"Also, manufacturers are getting better at making vehicles with low emissions so there is more choice than previously."

This is excellent from an environmental point of view, but the result is that people are paying less VED leaving a gap in the Treasury's budget.

Government shortfall
This shortfall has been estimated by the motoring research charity the RAC Foundation as being in the region of 13 billion by 2029.

Professor Stephen Glaister, director of the RAC Foundation, "The irony is that even as ministers encourage us to buy leaner, greener cars, they are forced to consider clawing back the money motorists think they will be saving."

"What the Chancellor gives with one hand he looks to take away with the other.

"People who think they will be financially better off by buying the most eco-friendly cars could be in for a shock as the government looks at ways of shoring up its falling tax revenue."

Tax reform
The government is now considering overhauling the VED system, and motoring groups and other interested parties have been invited to the Treasury to discuss the options.

These range from a pay as you drive approach, to a single tax charge on new cars at the point of Sale.

In the March Budget, Chancellor George Osborne outlined
plans to introduce direct debit payments for road for vehicle tax.

A spokesperson for the Treasury insisted that there are "no firm plans" for changes in vehicle tax rates.

But Sue Robinson, director of the Retail Motor Industry (RMI), says: "The government has indicated that it will look to review and reform VED as revenues fall due to consumers driving more fuel efficient vehicles.

Uncertainty
"What this reform will look like is difficult to predict but may be related to road usage, using factors such as mileage or peak time use.

"It is also possible that the government will slightly adjust the current system and increase VED based on carbon emissions and other environmental factors."

This uncertainty is likely to be particularly difficult for motorists thinking of buying a new car and wanting to know what their future costs will be.

Professor Stephen Glaister says: "Buying a car is a big deal for drivers. They can do without constant changes to tax which could alter their purchasing decisions.

"If nothing else, there needs to be certainty about motoring taxation."

What do you think?
Have you bought a smaller, low-emission motor to benefit from low, or no, vehicle tax? Do you think a reform of the system will end in a worse deal for motorists?

Last edited by Willo; 19th Jun 2012 9:09am.

. . .
Google Ads
Re: Falling revenues prompt vehicle tax reform. [Re: Clive] #703383
20th Jun 2012 1:39pm
20th Jun 2012 1:39pm

P
Pinzgauer
Unregistered
Pinzgauer
Unregistered
P


Thanks Willo for posting that. I was listening to a debate about it last week on the radio. In short, if HMG can't tax you one way, they'll pretty quickly think of another !! So what's new ? somad

Re: Falling revenues prompt vehicle tax reform. [Re: Clive] #703410
20th Jun 2012 3:36pm
20th Jun 2012 3:36pm
Joined: Nov 2003
Posts: 12,002
Wirralshire
StuyMac Offline
Wiki Master
StuyMac  Offline
Wiki Master
Joined: Nov 2003
Posts: 12,002
Wirralshire
Maybe they should go back to a flat rate of tax. After all, gas guzzlers will use more fuel and their owners will therefore pay more tax.

At least with a flat rate we all pay the same for the privilege of using the roads, your choice of how much more tax you pay will be down to the mpg of your vehicle.


[Linked Image]

What If There Were No Hypothetical Questions?

Moderated by  Mod 

Random Wirral Images

Click to View Topic.
Newest Topics
Labour Party Conference - Liverpool
by diggingdeeper. 23rd Sep 2018 4:16am
Salt and Blood Pressure
by diggingdeeper. 22nd Sep 2018 7:42pm
Ipad mini
by lincle. 22nd Sep 2018 7:29pm
Mersey Tunnel tolls, 1934
by yoller. 21st Sep 2018 9:32am
Cowards on scramber bike, Saturday 15th Sept
by keef666. 16th Sep 2018 4:24pm
For Sale & Free
Electric Bass Guitar / and amp
by gerrymoore. 22nd Sep 2018 8:54am
ps3 console
by tommybarry. 17th Sep 2018 4:55pm
50'' bush led
by Dilly. 14th Sep 2018 6:05pm
Belling Range Gas Cooker
by DJDuck. 30th Aug 2018 11:39am
Dining room table & chairs
by DJDuck. 30th Aug 2018 9:25am
Member Spotlight
Vanmanone
Vanmanone
The Rectory Eastham
Posts: 3,447
Joined: May 2010
Show All Member Profiles 
Newest Members
Aatami, rodofcv, Dave1960, WargamerNik, Busterthedog
12742 Registered Users
Today's Birthdays
No Birthdays
New Wirral Info
Ipad mini
by lincle. 22nd Sep 2018 7:29pm
£795,000 for a football pitch ?
by granny. 15th Sep 2018 11:27pm
Black Pearl
by venice. 13th Sep 2018 6:40pm
Giant Puppets Wirral
by granny. 13th Sep 2018 10:23am
Part Time Maintenance Job
by Reno37. 12th Sep 2018 5:36pm
News : New Topics
Labour Party Conference - Liverpool
by diggingdeeper. 23rd Sep 2018 4:16am
Cowards on scramber bike, Saturday 15th Sept
by keef666. 16th Sep 2018 4:24pm
Mother Nature's fury
by cools. 14th Sep 2018 6:45pm
Willy Wonka Dead !
by fish5133. 10th Sep 2018 1:04am
The Daily Mail News today
by granny. 9th Sep 2018 10:55am
New Enthusiast Forums
Salt and Blood Pressure
by diggingdeeper. 22nd Sep 2018 7:42pm
John Lewis advert
by cools. 12th Sep 2018 5:51pm
Escaped Yorkie type dog
by venice. 2nd Sep 2018 8:18pm
Tunnel Tolls
by fish5133. 31st Aug 2018 12:30am
Help !!!
by Dilly. 28th Aug 2018 7:12pm
Popular Topics(Views 24hrs)
Wirral Sunrise Sunset
Sunrise Mon 7:02am
Sunset Mon 7:05pm
Local Time Mon 7:25am
Powered by UBB.threads™ PHP Forum Software 7.6.1.1