More bad news for motorists last week as the government unveiled plans to abolish petrol and diesel cars by 2030. The announcement, which caused a lot of controversy, would bring forward government green targets by targeting non-electric cars.
Experts suggest that if this plan is to be brought forward, that vehicle tax on petrol and electric cars will significantly increase from 2025, to act as a deterrent to people, from buying higher-emission vehicles.
The government claims that the move is a way to enable a phased transition between petrol and electric vehicles, and to ensure that cities are prepared to accept and offer vehicle charging points and to better accommodate electric vehicles. A substantial increase on first year vehicle excise duty is anticipated, seeing the cost of buying a new petrol or diesel vehicle go through the roof, compared to what people are currently paying.
Many are suggesting that the increase in vehicle duty will be as much as 20% and many industry commentators are viewing this move as another taxation move that will hit the poorest hardest, with many unable to afford to buy even the cheapest electric vehicle. Others, meanwhile, question whether or not we have the mechanics and reapid teams who are able to repair electric vehicles and what this will mean for traditional repair businesses and garages.
While here at Cheap Car Insurance, we can see the benefits of green vehicles, we feel that rushing this move through could have significant impacts on younger drivers and those who cannot afford to buy new vehicles. And while we can always help with getting the best prices on your car insurance, the cost of the car itself is out of our hands.