When discussing road transport taxation policies, it is crucial to consider the wider implications they have on consumer behavior and environmental impact. In the recent budget, Vehicle Excise Duty (VED) rates were increased for new internal combustion engine cars, while fuel duty remained frozen. This, combined with a lack of incentives for electric car adoption, creates a scenario where people are encouraged to hold onto their existing vehicles for longer periods, hindering efforts to reduce CO2 emissions and increase the number of zero-emission vehicles on the road.
Question 9: Should small volume manufacturers (between 1,000 and 2,499 registrations) be subject to the 2030 requirements for cars and/or vans?
Question 10: Should micro-volume manufacturers (fewer than 1,000 annual registrations) be subject to the 2030 requirements for cars and/or vans?
Question 12: What are your thoughts on exemptions for kit cars from the 2030 requirements for cars and vans?
Autocar’s stance on these questions is clear – small, micro-volume, and kit car manufacturers should be exempt from the 2030 requirements. These manufacturers play a vital role in the British manufacturing industry, driving innovation and skill development that benefits the economy as a whole.
Due to their low production volume and specific use cases, the overall impact of these vehicles on CO2 emissions is minimal. Imposing costly electrification requirements on these manufacturers could pose significant challenges that may be difficult to overcome. Additionally, many of these vehicles have long lifespans and low annual mileage, further decreasing their environmental impact.
While some of these manufacturers are exploring electrification solutions, it is essential to provide them with incentives and support to pursue cost-effective emission reduction technologies. This not only benefits the manufacturers themselves but also contributes to the advancement of the wider industry.