Car tax scheme should not be ‘pulled prematurely’ as drivers can save hundreds
Jacob Rees-Mogg meets with electric car campaigner
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Steve Tigar of lovelectric said benefit-in-kind salary sacrifice schemes have helped to “halve the normal cost” of securing an electric vehicle. Mr Tigar warned the scheme needs “more exposure” as drivers can make massive savings.
In one example, he said drivers could save over £150 per month under the system, helping drivers get behind the wheel of some of the most modern vehicles.
He said: “Another incentive which needs more exposure is a little-known government-endorsed scheme which enables people to lease rather than buy an electric car via their employer.
“It’s like the cycle-to-work scheme for electric vehicles and halves the normal cost of accessing an EV.
“A BMW i3 would cost £240 versus well over £400 a month on a normal lease, for instance.
“I certainly hope this particular scheme will run right through to 2030, it’s not one we want to see pulled prematurely.
“I’d encourage anyone who is fed up with the news of [cuts] to start badgering their boss so they can end up with an even better deal.”
Current benefit-in-kind rates stand at just one percent for fully electric vehicles.
This will rise to two percent in 2022 before remaining at this rate for the following years up until 2025.
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Past this date, the future of the benefit-in-kind rates is unclear as the Government has yet to publish any new tables.
The Association of Fleet Professionals (AFP) have previously wanted clarity on rates, saying it was “needed”.
The future of electric car support is also unclear after the Government cut electric car grants from £2,500 to £1,500 last week.
But, Mr Tigar backed extra incentives, warning they were needed to help “encourage early adoption” of vehicles.
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