When it comes to road transport taxation, the recent budget made some interesting moves. VED rates were increased for new internal combustion engine cars, while fuel duty remained frozen. Unfortunately, the lack of incentives to purchase electric cars means that people are more likely to stick with their current vehicles for longer periods of time. This missed opportunity hinders efforts to reduce CO2 emissions and increase the number of zero-emission vehicles on the road.
Question 9: Should small volume manufacturers (1,000-2,499 registrations) be subject to the 2030 requirements for cars and vans?
Question 10: Should micro-volume manufacturers (fewer than 1,000 annual registrations) be subject to the 2030 requirements for cars and vans?
Question 12: What are your thoughts on exemptions for kit cars from the 2030 requirements for cars and vans?
Our stance on these questions is clear. Autocar believes that small, micro-volume, and kit car manufacturers should be exempt from the 2030 requirements. These companies play a vital role in the British manufacturing industry, driving innovation and skill development that benefits the economy as a whole.
Given their low production numbers and specific use cases, the overall impact of these manufacturers on UK CO2 emissions is minimal. Imposing costly electrification requirements on them could pose significant challenges. Many of their vehicles have long lifespans and low annual mileage. While some of these manufacturers are exploring electrification options, providing incentives and support for them to develop cost-effective emission-reduction technology would be a more beneficial approach.
