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Budget 2017 road tax

stephen watson

stephen watson

Messages
275
Location
Cumbria
Vehicle
T6 Ocean 150
Does anyone understand the new diesel road tax in the budget? I don't. It seems clear that existing vehicles aren't affected and only new cars from 2018. (Is a Cali a car or van?) that doesn't meet the highest standards. When I first heard this I assumed it meant Euro 6 engines and that Calis would not be affected, but now I'm not so sure. They seem to mean some newer standard, which I hadn't heard of before.
Can anyone explain please?
 
Euro 7 is not on the cards until about 2025 if my information is correct. I would be more concerned by the high output of CO2 of the petrol versions as that is high up on the emissions crackdown in the new standards.
 
I thought he said all diesels not meeting the current highest levels would be pushed up one band.. but didn't say what highest levels... 5,6 ???

edit: Just heard on the news all new Diesels not meeting current highest levels...
But I thought all new Diesels cars had to meet new levels anyway...

And it only applies to cars not vans :)
 
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I highlighted the key bit, as the Ocean is EU6 I suspect this means its not going to receive this new tax, neither will the old ones receive a hike as the papers made out. In fact it says older vehicles just RPI increase.

3.42 Air quality – In support of the National Air Quality Plan published in July, the government
will provide £220 million for a new Clean Air Fund. This will allow local authorities in England
with the most challenging pollution problems to help individuals and businesses adapt as
measures to improve air quality are implemented. The government is launching a consultation
alongside Budget on options that could be supported by this fund. (62) This will be paid for by:
• a Vehicle Excise Duty (VED) supplement that will apply to new diesel cars frst registered
from 1 April 2018, so that their First-Year Rate will be calculated as if they were in the VED
band above.
This will not apply to next-generation clean diesels – those which are certifed
as meeting emissions limits in real driving conditions, known as Real Driving Emissions
Step 2 (RDE2) standards (61)
a rise in the existing Company Car Tax diesel supplement from 3% to 4%, with effect from
6 April 2018. This will also apply only to diesel cars which do not meet the Real Driving
Emissions Step 2 (RDE2) standards (60)
3.43 VED – The government will:
increase in line with RPI from 1 April 2018 VED rates for cars, vans and motorcycles
registered before April 2017
and the First-Year Rates for cars registered after April 2017
• freeze the Heavy Goods Vehicle (HGV) VED and Road User Levy rates from 1 April 2018.
A call for evidence on updating the existing HGV Road User Levy will be launched this
autumn. The government will work with industry to update the Levy so that it rewards
hauliers that plan their routes effciently, to encourage the effcient use of roads and
improve air quality (38)
• from April 2019, exempt zero-emission capable taxis from the VED supplement that applies
to expensive cars, consulting in advance on how to defne such taxis
 
• a Vehicle Excise Duty (VED) supplement that will apply to new diesel cars frst registered
from 1 April 2018, so that their First-Year Rate will be calculated as if they were in the VED
band above.
This will not apply to next-generation clean diesels – those which are certifed
as meeting emissions limits in real driving conditions, known as Real Driving Emissions
Step 2 (RDE2) standards (61)

Ver helpful thanks. However how do you interpret the above though? Although a new Cali is Euro 6 does it meet RDE2? This is the bit I'd never heard of before and at the moment and there seem to be differing opinions on how many vehicles it will affect.
 
and now I've found this, which seems to indicate that if a new car emits more than 80mg/km NOx it will attract the new tax hike. I've never heard of this RDE2 test before and have no idea if a Cali, or any other new car for that matter, is likely to pass. Any experts on RDE2 out there?

Proposed revisions
Legislation will be introduced in Finance Bill 2017-18 to amend Schedule 1 of VERA, applying a supplement to new diesel cars registered after 1 April 2018. This will apply to new diesel cars which do not meet the standard set out under Annex IIA of Commission Regulation (EU) 2017/1151 for the second stage of Real Driving Emissions.

Cars which are certified as meeting the Real Driving Emissions 2 (RDE2) standard under Annex IIIA of Commission Regulation (EU) 2017/1151 will be exempt from the diesel supplement. This will be set in legislation at a value of nitrogen oxides (NOx) no greater than 80mg/km.

The RDE2 standard sets a maximum permitted level of car NOx emissions in real world driving situations, and it is measured through portable emissions-measuring equipment in a variety of real driving trips. Cars must pass the certified level of NOx emissions irrespective of the driving behaviour during the test - for example, the level of emissions produced when an engine is under stress, say, by driving uphill.

Manufacturers will certify NOx emissions. The certificate of conformity manufacturers produce will record which Euro-standard the vehicle is certified to. Diesel cars registered after 1 April 2018 and certified with a real-world NOx emissions figure greater than the RDE2 standard or without a certified NOx emissions figure will be subject to a supplement to the effect that these cars will go up by one VED band in their First-Year Rate.
 
To summarise, worst case. If buying a new diesel cali in 2018 & the cali doesn't hit best emissions requirements it will be bumped up a group on the first tax payment which could mean an extra £500 in on the road costs. This is a one off payment. Bit of a none event really.
 
Looks like first year Diesel and petrol first year rates will be the same (approximately) until VW publish the official RDE2 figures. May not be in any rush as the T6 van range isn't going to be subjected to this new levy.

Makes another shot to foot politically - keep an old polluting diesel car and not be penalised - buy a new Euro6 one and we'll hit your pocket!
 
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