‘Only a matter of time’ until diesel and petrol vehicles are ‘prohibited’ before 2030 ban
Michael Gove grilled by Hartley-Brewer on car ban cost
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From 2030, the Government will restrict the sale of all new petrol and diesel vehicles to boost its aim of reaching net zero emissions by 2050. Major steps are already being taken to limit the use of petrol and diesel, including tax benefits for electric cars, and penalty charges for polluting vehicles.
A handful of cities have introduced emissions-based charging zones to cut down on pollution and give drivers the incentive to switch to electric.
One of the most popular benefits for drivers is the car tax cuts they can benefit from.
Benefit-in-Kind (BiK) tax allows drivers to get an electric car at a much lower tax rate compared to petrol and diesel alternatives.
Currently, motorists pay just two percent tax on an electric car, whereas some diesel company cars can attract a tax rate of more than 35 percent.
David Hedges, Employment Tax Partner at Azets, said the 2030 petrol and diesel sales ban will have a major impact on consumer choices in the coming years.
Speaking to Express.co.uk, he said: “Employers, with environmental, social and governance on the boardroom agenda feel it is the right thing to do for the environment as we move away from polluting fossil fuels.
“There is the perception aspect to consider these days – pulling up to a meeting in a diesel car may leave customers wondering if your company is practising what it preaches.
“There’s also the regulatory side – companies are looking to pre-empt any bans on diesel and petrol vehicles in certain locations.
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“It is perhaps only a matter of time before diesel and petrol cars are prohibited from travelling in ‘smog cities’.
“It is worth bearing in mind that the Government has announced new proposals which would see more than 50 percent of all new cars sold to be fully electric by 2028, just six years away.
“One more factor is also driving demand – diesel and petrol costs are at record highs.”
He added that around 90 percent of drivers looking into getting a company car now opt for an electric vehicle.
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Almost half of drivers (47 percent) are holding onto their cars for longer than usual because they are unsure whether to buy a petrol, electric or diesel car, rising to 58 percent of under 34s.
According to new research from Opinium, 60 percent of UK drivers say that 2030 is too early to stop selling petrol and diesel vehicles.
It also found that 49 percent of drivers are holding onto their current car because of the shortage of new cars as well as the high price of second-hand cars.
There are some fears that the majority of the UK’s drivers will not switch to an electric car until their concerns have been addressed.
This generally affects people with range anxiety, as well as access to charging.
Other nations are now committing themselves to a firm date to end the sales of new internal combustion engine-powered vehicles.
The European Union have proposed an effective ban on new fossil fuel cars from 2035.
Ireland has also agreed to ban new petrol and diesel cars from 2030.
The Government aimed to ensure that all new cars and vans on Irish roads in less than eight years’ time would be electric.
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