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Road tax news - Road tax: going up - 2008
The government has admitted that some nine
million motorists will have to pay more road tax under ‘green’ reforms planned
for the next two years.
The reforms will redefine the tax
brackets, with top polluting vehicles paying up to £440 for tax discs.
Up to 43 per cent of road users will see
their bills rise by as much as £245 by April 2010, whereas less than 20 per
cent will be better off in real terms.
The figures, which were revealed by
Treasury Minister Angela Eagle in Parliament this week, have been criticised
by, erm, just about everyone. The AA warned that the changes were ‘politically
dangerous’, while the Conservatives described them as a ‘stealth charge’.
Eagle said that, in 2009/10, 55 per cent
of cars would be ‘no worse off’, while 44 per cent will pay more. It is
estimated that the Government will receive more than Â£1 billion in extra
vehicle excise duty by 2011.
It was initially thought that the reforms
would punish only the very most polluting vehicles, but it has been calculated
that five of the UK’s most popular cars will face a tax increase.
low-income families who have motor vehicles will be among those that are
affected,” admitted Labour minister Jane Kennedy.