The government should use the Budget to encourage business take-up of ultra-low emission vehicles (ULEVs).
In its annual Budget Submission to the Chancellor, the BVRLA urged the government to extend the nil rate tax band for zero emitting cars until 2016/17. The government currently plans to increase company car benefit-in-kind tax on electric vehicles to 5% in 2015/16, and the association believes that reversing the decision would give a huge incentive to businesses when choosing which vehicles to run.
The BVRLA’s other suggestions to the government include:
Keaney added: “BVRLA members are responsible for buying nearly half of all new vehicles sold in the UK every year and it is vital that the government supports this sector by encouraging sustainable business transport. The take-up of ultra-low emission vehicles will be a marathon, not a sprint, but where the rental and leasing industry leads, the private sector will follow.”