Rachel Reeves urged to scrap tax fees for 2 types | Tech News

Paul mentioned: (*2*)

Electric car house owners pay the commonplace VED fee of £195 every year from the second 12 months the vehicle is on the roads. Brand new house owners pay a discounted fee of simply £10 in 12 months one, less expensive than petrol and diesel alternate options.

However, the Expensive Car Supplement (ECS) is a fear for many electric car house owners due to the upfront value of many high fashions. The ECS payment is an extra £425 every year fee for fashions with a record price of over £40,000 between the second and sixth years of possession.

Added collectively, electric car house owners may effectively be paying a whopping £620 per 12 months to get behind the wheel in contrast to £0 simply 12 months in the past. AutoTrader has additionally warned that rising tax fees may put off customers from making the leap of religion to ditch their petrol and diesel fashions for EVs.

AutoTrader’s Ian Plummer beforehand mentioned: “We urgently need to rethink the expensive car supplement and Vehicle Excise Duty tax changes and to focus on public information campaigns to enable consumers to feel good about making the switch.

“With one in three new cars sold in the UK now having a plug, we know there’s consumer appetite for the new technologies now on offer.”