Pre Budget Report ... Car Rfl And Fuel Duty

[Hoovie]

Just checked out the report and it looks like the hike to Road Fund License has been put back a couple of years in the main and the rise next March will be no more then £5 for any car - which is a big change from the around £100 for a lot of drivers (RAV4 drivers anyway!) and 2010 doesn't look too bad ...

Posted a few key points below (my embolding) - the whole rivetting () report can be seen Here

7.33 The Pre-Budget Report confirms the introduction of the new bands in 2009. However,

it also announces that to reduce pressures on motorists during the current economic

downturn, there will be no significant rate changes until 2010, and no driver in any given

band will pay more than £30 more in that year............

7.34 As a result of these reforms to graduated VED, no driver in any given band will pay

more than £5 extra in 2009. In 2010-11, when more significant rate changes are introduced, a

majority of drivers will either pay less or the same as in 2009.............

7.35 Cars registered before 2001 – which account for around a third of the fleet – are not

subject to the graduated VED regime, because comprehensive data on their carbon dioxide

emissions is not available. In Budget 2008, it was announced that in 2009 the lower rate of

VED for these vehicles would be frozen and the higher rate would be increased by £15. In line

with the changes to main VED rates, this change will be postponed for a year, and on 1 April

2009 both rates will instead increase by £5. These rates will also apply to light goods vehicles

registered before 2001.

7.39 As a result of falling oil prices, pump prices have now fallen by more than 20 pence

per litre from their July peaks. The Pre-Budget Report therefore announces that the 2 pence

per litre increase in fuel duty planned for 2008 will now take place on 1 December 2008.

However, as a result of the 2.5 per cent cut in VAT this December, the cost of petrol and diesel

will fall for private motorists who should see no increase in the price they pay at the pump this

year from this measure.

[Blue84]

That doesn't seem too bad from the sounds of it.

But, as always we shall see what happens as more time passes.

[Demonic Angel]

Yeah yeah yeah... thats all well and good but the important question remains....

Do us Aygo owners still get our £15 RFL discount next year??

[cabcurtains]

At last a bit of positive news for the motorist

Shame the Chancellor has mortgaged us to the hilt and used the money for the biggest gambling stake ever :(

[Hoovie]

nah - you are paying to subsidise us RAV4 drivers :P

[hertsnminds]

As a result of falling oil prices, pump prices have now fallen by more than 20 pence

per litre from their July peaks. The Pre-Budget Report therefore announces that the 2 pence

per litre increase in fuel duty planned for 2008 will now take place on 1 December 2008.

However, as a result of the 2.5 per cent cut in VAT this December, the cost of petrol and diesel

will fall for private motorists who should see no increase in the price they pay at the pump this

year from this measure.

And no matter how high oil prices go in the future the fuel duty will never be reduced. If you are a business motorist the change in VAT will have no effect but the increase in duty will increase costs. Increasing costs of transportation to business is going to make them more likely to increase prices to the consumer to cover them, smart move... DOH!

[Karma Supra]

Cars registered before 2001 – which account for around a third of the fleet – are not

subject to the graduated VED regime, because comprehensive data on their carbon dioxide

emissions is not available. In Budget 2008, it was announced that in 2009 the lower rate of

VED for these vehicles would be frozen and the higher rate would be increased by £15. In line

with the changes to main VED rates, this change will be postponed for a year, and on 1 April

2009 both rates will instead increase by £5. These rates will also apply to light goods vehicles

registered before 2001.

I still think it is bordering criminal that the the graduated VED system is applied to cars before 2005, as they would have been bought before this system was even mentioned. The end result is people like me who are already struggling to afford a decent car will be stung with paying nearly double the tax.

The farce is that it is for "environmental reasons" bolleaux to that. my relatively clean modern car will cost about the same to tax as my previous diesel Hilux AND my 20 year old, 12 mpg supra...........

It makes me sick.

-It is also going to play havoc with used car prices... the increased depretiation of the vehicles value as a direct result is just ANOTHER financial burden I'll have to face as a result of labours ridiculous schemes.

Lets not also forget the fact that they immediately aboloshed the 25 year rolling "historic vehicle" tax ememption. -if it wasn't for Labour, my old Porsche 944 I sold last year would now be tax exempt, which in turn would probably hav eincreased the value and further cementing "classic" status.

It makes my blood boil.