As the Chancellor prepares to deliver the Budget on 26 November 2025, UK motorists face further confusing changes to motoring policies. For years, governments have made piecemeal adjustments without a clear understanding of car usage, resulting in uncertainty for drivers and the industry.
This Budget offers a chance to create a solid plan that reduces costs and supports both new and used car markets. Crucial to this is providing clear information on taxes. Introducing a pay-per-mile tax on electric vehicles (EVs) could hinder EV adoption, especially considering recent government spending on EV grants. A comprehensive review of vehicle taxation is necessary before implementing new ideas.
Furthermore, the ‘expensive car’ surcharge, which applies to all vehicles over £40,000, unfairly targets family SUVs and estate cars. If we want families to choose cleaner models, we should not penalise them with extra charges.
Support should also cover used cars, which represent over 80% of UK transactions. Providing grants to assist the switch from older petrol and diesel vehicles to more affordable used EVs would benefit both consumers and the environment.
Fuel duty, which has remained a tax, has now been unchanged for over ten years and should be reviewed in light of a possible pay-per-mile scheme. So, should the government maintain current fuel duty levels while encouraging the adoption of more efficient vehicles, and perhaps revise vehicle duty to better reflect how vehicles are now used? Time will no doubt tell!
The planned increase in MOT test prices, at a time when family costs are rising, is concerning. Moving to biennial tests could reduce the financial strain while still ensuring safety. After all, modern vehicles are much different and far more reliable than when the MOT was first introduced in 1960! With only a few changes since then. Apart from prices!
Ultimately, drivers seek a clear and stable plan rather than random policy shifts. This Budget should aim for transparency and support for all motorists.
And finally, governments need to be reminded that ‘motoring’ is not a luxury and hasn’t been for a very long time. It is a necessity! Just look at how busy UK roads are. Oh, and yes, the now so-called ‘vehicle excise’ (Road Fund License!) should be redirected back onto the UK ‘Roads’ for obvious reasons, especially Road Safety!
Key Points…
- Uncertain Car Policies in the UK: Recent government adjustments to motoring policies have been fragmented, causing confusion for drivers and the industry because of unclear guidance on car usage.
- Need for a Clear Vehicle Taxation Strategy: The Budget offers a chance to develop a comprehensive plan that cuts costs and clarifies taxes, especially before implementing new schemes like a pay-per-mile tax on EVs.
- Criticism of the ‘Expensive Car’ Surcharge: The surcharge on vehicles over £40,000 unfairly targets family SUVs and estate cars, and such penalties could deter the adoption of cleaner, more environmentally friendly models.
- Focus on both their finances and the environment.
- Reassessment of MOT and Fuel Duty Policies: Proposals to extend MOT test intervals and review fuel duty levels aim to ease financial pressures on families and adapt regulations to modern vehicle standards.
You can also visit this website for more: https://www.thecarexpert.co.uk/
