Owners of the most-polluting vehicles get £90 tax rise
21 March 2007

Owners of the most-polluting vehicles will be stung by increased taxes, but it’s not as bad as it might have been.

As predicted, Chancellor Gordon Brown announced measures in the Budget today that will hit owners of vehicles that produce over 225g/km of CO2.

The rate of Vehicle Excise Duty – commonly known as Road Tax – for vehicles that emit over 225g/km of Co2 will be increased from the current £210 for petrol cars to £300. In April 2008 this will increase again to £400 a year.

At the other end of the spectrum, the tax on some of the least-polluting vehicles – those that produce between 101 and 120g/km – has been reduced by a whopping £5 to £35 for petrol cars, and by £25 to £15 for ‘alternative fuel vehicles’. We’re assuming this last category doesn’t include the petrol-powered Toyota Prius.

Fuel duty is also to rise, by 2p per litre from October, in line with inflation.

While we can’t say that we support Brown’s punatative taxes, adding the cost of about a tank and a half of fuel to the yearly running costs of the most-polluting vehicles is hardly likely to stop anyone using them.

It was clearly a gesture designed to appease the green lobby, without offending anyone ahead of Brown’s bid to be PM. Brown also decided not to impose what would have been a highly controversial tax on air transport. Clearly it’s easier simply to carry on attacking the motorist.

Add your comment

Log in or register to post comments

Find an Autocar car review

Driven this week

  • Used BMW M135i
    First Drive
    20 March 2018
    We have bought a used BMW M135i to see how far we can improve this rear-wheel-drive hot hatch
  • Mercedes-Benz E-Class Estate
    First Drive
    19 March 2018
    The Mercedes-Benz E-Class could be all the estate car you’ll ever want — or it could be overkill. Let’s see which...
  • Dallara Stradale
    The Stradale is the first road-legel car from Italian motorsport constructor Dallara
    First Drive
    16 March 2018
    The motorsport constructor's first road car is inspired by Lotus minimalism. Does it thrill on road and track?
  • Hyundai i30 N
    Standard spec is good so paint colour is our car’s only option
    First Drive
    16 March 2018
    What’s Hyundai’s first hot hatch and N-brand debutant really like? Let’s find out
  • Porsche Boxster GTS
    This is the new GTS version of the Porsche Boxster
    First Drive
    15 March 2018
    The 718-generation Boxster is our favourite roadster of the moment – so is this new GTS variant worth the extra outlay?