Call for van VED reforms to be delayed

Government plans to reform the vehicle excise duty on commercial vehicles should be put on hold

In a recent statement released by the British Vehicle Rental and Leasing Association (BVRLA), government plans to reform the vehicle excise duty on vans and commercial vehicles should be put on hold until a greater number of low emissions options are available. This statement comes as the government looks to replace the standard £250 vehicle excise duty with a system that grades vehicles based on emissions in the same manner as passenger vehicles.

While the BVRLA has been supportive of the government’s aim to reduce CO2 emissions and increase the take-up of lower emission vehicles, it was at pains to point out that there is only a limited number of such models currently available. What’s more, those models that are available are priced beyond the means of many, and far exceed the cost of their Euro VI diesel equivalents.

Not only that, but the BVRLA has identified an anomaly that means that newer, cleaner Euro VI compliant diesel vans could in fact end up paying more road tax than older Euro V or Euro IV models.

Speaking of the proposed changes, BVRLA chief executive Gerry Keaney said: “The government’s approach will have the unintended consequence of penalising hard-working businesses. By heavily focusing on leveraging taxation, the government is missing a trick to incentivise the much-needed production of a greater number of affordable, low emission vans. Van users in the UK currently don’t have much choice across all weight ranges.

“By allowing older, more polluting vans to continue to be taxed at a lower rate than newer, more efficient diesel vans, the government is sending the wrong signal and is failing to reward those making cleaner choices.”

As an alternative to the VED changes, the BVRLA has requested that the government put a stay on the proposals as well as consider alternative options. These alternatives have been identified as either increasing the value of plug-in vehicle grants to make models more comparable in price to regular diesel vans, and providing greater R&D incentives that help manufacturers develop and bring to market more affordable options.

Here at Vanwise Group, we work hard to ensure that all motorists and business professionals are able to source the most cost-effective and clean vans possible. We have a range of quality used commercial vans that have all been thoroughly checked by our team of experienced technicians who ensure the best condition possible.

Contact the Vanwise Group dealerships in Maidstone andHarlow today to learn more about choosing the right commercial vans for your business.