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Gas-guzzlers 'must pay up'

Motorists who drive gas-guzzling cars could be penalised with higher road tax rates.

The Government is looking at pushing up vehicle excise duty for higher-polluting cars.

It believes motorists will be put off buying cars that cause the most damage to the environment if they are made more expensive.

A spokesman for the Department of Transport said: "We are looking to see how we can use vehicle excise duty to better reflect carbon dioxide emissions. We are working closely with the Treasury on this."

The amount motorists pay in road tax is already partly dependent on the size of their engine. But ministers do not think the cost differences are enough to deter people from buying bigger cars.

The duty on a Lamborghini Murcielago, the highest-polluting car on sale in Britain is £160 a year, just £75 more than for a diesel Renault Clio.

And sales of larger-engined cars, which produce up to five times more carbon dioxide per mile than the most fuel-efficient cars, are soaring.

The Institute of Public Policy Research this week forecast carbon dioxide emissions from road transport will rise by 15 per cent by 2020 under the current road tax regime.

The number of cars on Britain's roads is growing by more than 500,000 a year with sales expected to top 2.5 million this year.

Transport minister David Jamieson has said vehicle excise duty was an important tool in influencing people's choice of car.

The RAC Foundation said it would welcome a widening of the gap in road tax rates between the best and worst polluters. But it said the overall sum raised must not exceed the current total of £4.5 billion.

Executive director Edmund King said the Government should target the cheaper end of the market.

"If somebody can afford £60,000 for a top-of-the-range BMW then they are not going to be too worried about a rise in VED even if it is doubled."

Kev

I find it hard to imagine the lambo as the highest polluting ... what about all of the old bombs getting about?

Plus, if you went down that path, you'd need to measure milage travelled.

Just another tax opportunity. Surprised kid's pocket money hasn't been taxed yet.

MarkW

Just another way of the government hammering the motorist.

Most people who own a Lambo or Ferrari will only do a couple of thousand miles a year tops, compared with some company diesel drivers raking up 50k a year. Will they take that into account?

The RX-8 meets Euro IV anyway, but do we know yet if it will be in the highest tax band? I think it was discussed before but I cant remember

RobDickinson

Gas guzzlers already pay more because petrol is over 80% tax.

There we go, job done... Road tax is a financial inconveniance, stealth tax and its name is nothing more than a joke.

hairyfrog

Just another exscuse to hammer more tax out of us. I'm sick to death of Blairs nanny state - vote 'em out next time !

Prism

Tax is £180 for the year. Not sure if thats the highest

Titanium Grey

It is in the highest CO2 band but it is not the most expensive due to the relative low purchase cost of the car.

I think the CO2 tax amount you pay is a percentage of the initial value of the car, and that percentage is based on the CO2 banding the car sits within.

RX8BoiUK

According to the dvla site: http://www.dvla.gov.uk

a high power rx8 will be £160 for the yr and £88 for 6months


this is cheaper than the £165 i pay now for my 106 gti. I didnt realise ive been payin £55 a yr more for an extra 49cc!!

RobDickinson

cheaper ATM than my 1.8 focus too.

For some reason, when they changed it from nothing -> CC -> CO2 they made the top bracket cheaper. So dirty great ML55's etc pay less road tax than my ikkle focus (who's MOT emmisions tests are exemplaory).

Eric

In Holland we used to get a tax refund when buying an economic car.
Due to gouvernment shortcomings, this refund has been cancelled.
And, as earlier mentioned, the higher the fuel consumption, the more taxes we pay. In Holland taxes on fuel are also about 80%.

Eric