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Where Rubber meets Road - sammy1

In the not too distant future when the percentage of EVs hits 25% the GOV is to have a loss of revenue of some £9billion due to no VED and fuel duty on EVs.

Clearly the GOV will have to come up with some solution as the situation is unfair on ICE drivers and revenue loss is unsustainable The link gives a couple of suggestions aimed at EVs or perhaps a fairer system for all

EV drivers should pay-per-mile and/or per-kilo, say reports (msn.com)

Where Rubber meets Road - Adampr

The loss of revenue is the cost of reducing carbon emissions, along with a whole load of other (not car-related) costs. I don't think it's unfair on ICE drivers as I have not heard of their VED increasing.

Where Rubber meets Road - sammy1

The loss of revenue is the cost of reducing carbon emissions, along with a whole load of other (not car-related) costs. I don't think it's unfair on ICE drivers as I have not heard of their VED increasing.

In case you have not noticed it goes up annually with the rate of inflation. From April it went up 10.3 %!

The tax paying public is paying for the carbon policy not the GOV. The post is all about a fairer system as much as the lost revenue of EVs which can only be temporary. It is grossly unfair that EV drivers are not paying their fair whack when their emissions are coming out of the power stations.

Drax the so called green provider has been fined in the US for exceeding emission levels and is under investigation in the UK for similar transgressions.

Where Rubber meets Road - Adampr

I meant it hasn't gone up to compensate for any loss from EVs. The tax paying public and the government are the same thing in terms of money.

Drax is a single biomass power station. As previously stated, anyone is perfectly able to switch to a 100% renewable tariff if they wish to reduce their carbon emissions from power generation.

Where Rubber meets Road - sammy1

I meant it hasn't gone up to compensate for any loss from EVs. The tax paying public and the government are the same thing in terms of money.

Drax is a single biomass power station. As previously stated, anyone is perfectly able to switch to a 100% renewable tariff if they wish to reduce their carbon emissions from power generation.

So you don't think it unfair to 80% plus ICE drivers paying VED and some £60 tax on every £100 they spend on fuel an EV drivers paying zilch and mostly company ones at that.

It is a good Job VED has not gone up to compensate The tax paying public tends to look after its money whereas the GOV does the exact opposite.

Please can you tell me where we can all switch to 100% renewable tariffs. Can a provider cope with this and will it be cheaper for us all? Where oh where is the competition we are all promised or is it something to do with the 30 or so companies that have gone bust at the consumers expense instead of the creditors

Where Rubber meets Road - Adampr

I meant it hasn't gone up to compensate for any loss from EVs. The tax paying public and the government are the same thing in terms of money.

Drax is a single biomass power station. As previously stated, anyone is perfectly able to switch to a 100% renewable tariff if they wish to reduce their carbon emissions from power generation.

So you don't think it unfair to 80% plus ICE drivers paying VED and some £60 tax on every £100 they spend on fuel an EV drivers paying zilch and mostly company ones at that.

It is a good Job VED has not gone up to compensate The tax paying public tends to look after its money whereas the GOV does the exact opposite.

Please can you tell me where we can all switch to 100% renewable tariffs. Can a provider cope with this and will it be cheaper for us all? Where oh where is the competition we are all promised or is it something to do with the 30 or so companies that have gone bust at the consumers expense instead of the creditors

No, I don't think it's unfair. I don't smoke cigarettes, so I don't pay tax on them.

You can switch to 100% renewable tariff on octopus.

Where Rubber meets Road - Xileno

The tax system has long been used to encourage a different pattern of behaviour - back in the mid 90s it was the switch to diesel. Early adopters do well, with EV the BIK are generous as well as the VED but these things will change when EV gets to a certain critical mass. Road pricing of some variety will be the norm, Cambridge city were researching this over thirty years ago, one of my old lecturers was heavily involved in the studies and the technology has moved on in leaps and bounds since then.

Where Rubber meets Road - Manatee

>>The tax paying public is paying for the carbon policy not the GOV.

The government never pays for anything. It's our money (or our debt) regardless.

That's one reason we need to stop all this abuse of secondary legislation and Henry VIII powers that the current lot is so fond of.

If the government believes it is in all our interests to forgo VED to incentivise substitution of EVs for ICE vehicles then I suppose it's OK, if properly legislated and scrutinised.

Once the change is deemed established, VED will no doubt come back.

Where Rubber meets Road - Andrew-T

<< The tax paying public is paying for the carbon policy not the GOV. >>

If the 'GOV' pays, that means the tax-paying public - unless you are suggesting some more should be picked from that magic tree ?

Where Rubber meets Road - galileo

The loss of revenue is the cost of reducing carbon emissions, along with a whole load of other (not car-related) costs. I don't think it's unfair on ICE drivers as I have not heard of their VED increasing.

EVs wear out the roads in just the same way as ICE vehicles (if not more due to extra weight) so why should they not pay Road Tax?

If it comes to that, why is there no tax on Vapes, to compensate for reduced revenue from cigarettes (as if the Treasury won't have thought of this already).

Where Rubber meets Road - Adampr

The loss of revenue is the cost of reducing carbon emissions, along with a whole load of other (not car-related) costs. I don't think it's unfair on ICE drivers as I have not heard of their VED increasing.

EVs wear out the roads in just the same way as ICE vehicles (if not more due to extra weight) so why should they not pay Road Tax?

Because it was abolished in 1937.

Where Rubber meets Road - sammy1

The loss of revenue is the cost of reducing carbon emissions, along with a whole load of other (not car-related) costs. I don't think it's unfair on ICE drivers as I have not heard of their VED increasing.

EVs wear out the roads in just the same way as ICE vehicles (if not more due to extra weight) so why should they not pay Road Tax?

Because it was abolished in 1937.

Very clever from someone who did not know VED goes up with inflation.

The thread is all about a fair tax for everyone and suggestions in the link. I favour a charge per mile as the more you use the roads the more you pay for private users. Commercial and other businesses should have different rates. Quite how you get people to pay is something else so may be a fair VED for everyone makes more sense as the Gov needs to keep an eye on all vehicle registrations in any case EVs to pay VED from 2025 but at what rates? The GOV cannot keep trying to Tax people off the road as it introduces EVs People need their cars to earn a living. EVs are far too expensive and Ice cars too and manufacturers don't seem to be able to keep up with demand regardless of price. Still how many are actually buying cars but leasing

Where Rubber meets Road - Adampr

I don't remember saying I didn't know that, I said that's not what I'm talking about.

As we've covered countless times and I've just said again, there is no 'road tax' and we have to get away from thinking of VED as road tax. It's not, it's a tax on cars and the fairness is that it's higher the more your car pollutes. EVs aren't getting special treatment, you can buy an ICE car with zero tax too. As Xileno says, it's about incentivising things that the government consider to be beneficial and vice versa.

As I've also said before, the tax per mile is called Fuel Duty. And, yes, there is a tax for EVs because we pay VAT on electricity bills.

Where Rubber meets Road - Engineer Andy

The loss of revenue is the cost of reducing carbon emissions, along with a whole load of other (not car-related) costs. I don't think it's unfair on ICE drivers as I have not heard of their VED increasing.

EVs wear out the roads in just the same way as ICE vehicles (if not more due to extra weight) so why should they not pay Road Tax?

Because it was abolished in 1937.

I wondered when someone would bring up that pedantic answer. Road tax, VED, it's essentially the same to vehicle owners. To be able to drive a vehicle on the road, you have to pay 'it', but nowadays, the amount you pay for 'it' depends on what vehicle you own and when it was regsitered.

And EVs should pay some form of VED / road tax / whatever you want to call it, precisely because they wear the roads, just like non-EVs, even if they are charged with solar panels, that still doesn't make them 100% eco-friendly, given they use resources to be built (extra materials, including of the tyres, batteries, etc), maintained and even charged via PV.

Where Rubber meets Road - Adampr

The loss of revenue is the cost of reducing carbon emissions, along with a whole load of other (not car-related) costs. I don't think it's unfair on ICE drivers as I have not heard of their VED increasing.

EVs wear out the roads in just the same way as ICE vehicles (if not more due to extra weight) so why should they not pay Road Tax?

Because it was abolished in 1937.

I wondered when someone would bring up that pedantic answer. Road tax, VED, it's essentially the same to vehicle owners. To be able to drive a vehicle on the road, you have to pay 'it', but nowadays, the amount you pay for 'it' depends on what vehicle you own and when it was regsitered.

And EVs should pay some form of VED / road tax / whatever you want to call it, precisely because they wear the roads, just like non-EVs, even if they are charged with solar panels, that still doesn't make them 100% eco-friendly, given they use resources to be built (extra materials, including of the tyres, batteries, etc), maintained and even charged via PV.

It's not just mindless pedantry. VED has no more to do upkeep of roads than stamp duty.

The fair solution is probably to abolish VED entirely and put it all on fuel duty.

Where Rubber meets Road - Engineer Andy

The loss of revenue is the cost of reducing carbon emissions, along with a whole load of other (not car-related) costs. I don't think it's unfair on ICE drivers as I have not heard of their VED increasing.

EVs wear out the roads in just the same way as ICE vehicles (if not more due to extra weight) so why should they not pay Road Tax?

Because it was abolished in 1937.

I wondered when someone would bring up that pedantic answer. Road tax, VED, it's essentially the same to vehicle owners. To be able to drive a vehicle on the road, you have to pay 'it', but nowadays, the amount you pay for 'it' depends on what vehicle you own and when it was regsitered.

And EVs should pay some form of VED / road tax / whatever you want to call it, precisely because they wear the roads, just like non-EVs, even if they are charged with solar panels, that still doesn't make them 100% eco-friendly, given they use resources to be built (extra materials, including of the tyres, batteries, etc), maintained and even charged via PV.

It's not just mindless pedantry. VED has no more to do upkeep of roads than stamp duty.

The fair solution is probably to abolish VED entirely and put it all on fuel duty.

Trouble is you may as well say that for any tax these days - they all get put in a general pot to be divvied out as governments anbd councils see fit. National Insurance being the best example.

My point was that the 'tax' we (mostly) pay to be able to run a car is essentially the same 'thing' as was the case before, even if the money doesn't go where it used to.

Where Rubber meets Road - Andrew-T

<< The fair solution is probably to abolish VED entirely and put it all on fuel duty. >>

You could call it fair, but one difficulty is that the price of fuel might become uncompetitive with other countries, leading to more buying overseas and maybe even (horrors) smuggling :-)

Where Rubber meets Road - alan1302

In the not too distant future when the percentage of EVs hits 25% the GOV is to have a loss of revenue of some £9billion due to no VED and fuel duty on EVs.

Clearly the GOV will have to come up with some solution as the situation is unfair on ICE drivers and revenue loss is unsustainable The link gives a couple of suggestions aimed at EVs or perhaps a fairer system for all

EV drivers should pay-per-mile and/or per-kilo, say reports (msn.com)

Where Rubber meets Road - alan1302

In the not too distant future when the percentage of EVs hits 25% the GOV is to have a loss of revenue of some £9billion due to no VED and fuel duty on EVs.

Clearly the GOV will have to come up with some solution as the situation is unfair on ICE drivers and revenue loss is unsustainable The link gives a couple of suggestions aimed at EVs or perhaps a fairer system for all

EV drivers should pay-per-mile and/or per-kilo, say reports (msn.com)

How much more will the governemnt take in VAT on electrcity from EVs?

Where Rubber meets Road - sammy1

In the not too distant future when the percentage of EVs hits 25% the GOV is to have a loss of revenue of some £9billion due to no VED and fuel duty on EVs.

Clearly the GOV will have to come up with some solution as the situation is unfair on ICE drivers and revenue loss is unsustainable The link gives a couple of suggestions aimed at EVs or perhaps a fairer system for all

EV drivers should pay-per-mile and/or per-kilo, say reports (msn.com)

How much more will the governemnt take in VAT on electrcity from EVs?

VAT on public chargers if you can find one is charged at 20% the same as ICE fuel. Companies can claim the tax back if VAT registered So the VAT take on private EVs is not much at the moment. VAT on home chargers is 5% the same as domestic electric and gas. SO the GOV loses out on EVs charged at home compared with the ICE driver paying 20%

Where Rubber meets Road - Adampr

There are over 40,000 public chargers in the UK so not all that tricky to find.

That's also not how VAT works. Companies can claim back the VAT that they've paid, not the VAT that they've charged.

Where Rubber meets Road - sammy1

There are over 40,000 public chargers in the UK so not all that tricky to find.

That's also not how VAT works. Companies can claim back the VAT that they've paid, not the VAT that they've charged.

My you are confused today if a company car charges at a public charger they are charged VAT and pay VAT so they claim it back.

The charger network is miles behind where it should be and a problem in some areas and queuing in others at busy times

Where Rubber meets Road - Adampr

There are over 40,000 public chargers in the UK so not all that tricky to find.

That's also not how VAT works. Companies can claim back the VAT that they've paid, not the VAT that they've charged.

My you are confused today if a company car charges at a public charger they are charged VAT and pay VAT so they claim it back.

The charger network is miles behind where it should be and a problem in some areas and queuing in others at busy times

A company car would be paying BIK and the company would be charging VAT on whatever it sells (which then goes then goes to HMRC).

However, I'm giving up at this point. I'll enjoy the sunshine and you can go back to cowering in fear of electricity, bicycles and anyone that doesn't conform to the Daily Mail's instructions.

Where Rubber meets Road - alan1302

In the not too distant future when the percentage of EVs hits 25% the GOV is to have a loss of revenue of some £9billion due to no VED and fuel duty on EVs.

Clearly the GOV will have to come up with some solution as the situation is unfair on ICE drivers and revenue loss is unsustainable The link gives a couple of suggestions aimed at EVs or perhaps a fairer system for all

EV drivers should pay-per-mile and/or per-kilo, say reports (msn.com)

How much more will the governemnt take in VAT on electrcity from EVs?

VAT on home chargers is 5% the same as domestic electric and gas. SO the GOV loses out on EVs charged at home compared with the ICE driver paying 20%

How much though? When there are 25% of all vehicles as EVs what ammoiunt of money will the VAT be bring in?

Where Rubber meets Road - veloceman
Currently travelling through France, I was charged just over 30 euros for a 200 mile motorway journey. I have spent well over £120 travelling from Rotterdam to Monaco and on to Lake Como in tolls Also with petrol at around 180-190 euros a litre certainly not been a cheap trip. Doesn’t seem to deter the French/Italians either.
Also one thing to note is that diesel still seems to be the fuel of choice, majority of cars are diesel and still enjoy at least a good 5-10% cost difference on petrol.
I don’t have a problem with Road pricing if you use you pay - simple.
Where Rubber meets Road - Xileno

"with petrol at around 180-190 euros a litre certainly not been a cheap trip. "

Ouch! ;-)

Years ago diesel drivers didn't pay their equivalent of VED either, until the French Govt. abolished it for all cars and put it on the fuel. I think it was in 2000.

Where Rubber meets Road - Terry W

Governments use taxation as a way (amongst others) to change behaviours - eg: tobacco, alcohol, even which goods carry VAT.

They have decided that EV is the future and ICE will be history. You cannot even exercise your democratic right to vote for a party which represents your views (none do).

IMHO as a strategy it is sound. Personally I am unlikely to change for a couple of years (price, range anxiety, charging network).

Using tax to encourage uptake is a pragmatic conclusion. When EV ownership reaches a critical mass as 2030 approaches, a way to tax EVs will emerge.

It is not a rational debate about the fairness of taxing EVs vs ICEs today. It is about the strategy. Arguments to change this are unlikely to be convincing - get used to it.

Where Rubber meets Road - sammy1
Currently travelling through France, I was charged just over 30 euros for a 200 mile motorway journey. I have spent well over £120 travelling from Rotterdam to Monaco and on to Lake Como in tolls Also with petrol at around 180-190 euros a litre certainly not been a cheap trip. Doesn’t seem to deter the French/Italians either. Also one thing to note is that diesel still seems to be the fuel of choice, majority of cars are diesel and still enjoy at least a good 5-10% cost difference on petrol. I don’t have a problem with Road pricing if you use you pay - simple.

French Tolls have always been expensive. If you don't want to pay it takes forever to travel the length of France. They seem to have road pricing well sorted on the continent and excellent roads.

Where Rubber meets Road - sammy1

"""How much though? When there are 25% of all vehicles as EVs what ammoiunt of money will the VAT be bring in?

Impossible to say. Much depends on the percentage of private EV owners paying VAT because company owners of EVs claim it back. Not a lot in the as home chargers are at 5% VAT only. Jeremy Hunt will have an idea how much. Companies also claim the VAT back on the vehicles they buy both EV and ICE

Where Rubber meets Road - Bolt

"""How much though? When there are 25% of all vehicles as EVs what ammoiunt of money will the VAT be bring in?

Impossible to say. Much depends on the percentage of private EV owners paying VAT because company owners of EVs claim it back. Not a lot in the as home chargers are at 5% VAT only. Jeremy Hunt will have an idea how much. Companies also claim the VAT back on the vehicles they buy both EV and ICE

Don`t forget the new emissions regs that come in later also state reduction in brake dust and tyre dust, which should mean tyres and brakes will last longer, so drivers won`t have to buy them as often, I wonder where they will get the VAT then as sales of these must be a lot

Where Rubber meets Road - Terry W

Don`t forget the new emissions regs that come in later also state reduction in brake dust and tyre dust, which should mean tyres and brakes will last longer, so drivers won`t have to buy them as often, I wonder where they will get the VAT then as sales of these must be a lot

For every 20p the Treasury lose in VAT, the motorist saves a £1.

I am sure the chancellor will find a way to part you from some of your £1 saving to balance his books - the only question is how (and does it really matter).

If the reality is that new tyre and brake regs save the environment, save the motorist, and the tax can be recovered in another way - what's not to like. The only possible losers are folks with jobs making, selling and fitting tyres and brake pads.

Where Rubber meets Road - alan1302

Don`t forget the new emissions regs that come in later also state reduction in brake dust and tyre dust, which should mean tyres and brakes will last longer, so drivers won`t have to buy them as often, I wonder where they will get the VAT then as sales of these must be a lot

For every 20p the Treasury lose in VAT, the motorist saves a £1.

I am sure the chancellor will find a way to part you from some of your £1 saving to balance his books - the only question is how (and does it really matter).

If the reality is that new tyre and brake regs save the environment, save the motorist, and the tax can be recovered in another way - what's not to like. The only possible losers are folks with jobs making, selling and fitting tyres and brake pads.

They can just charge more for them.

Where Rubber meets Road - Andrew-T

<< Don`t forget the new emissions regs that come in later also state reduction in brake dust and tyre dust, which should mean tyres and brakes will last longer, so drivers won`t have to buy them as often. >>

I haven't experienced the acceleration capability of an EV, but if it is as people say, I would expect rather more scuffing of tyres at start-off than in an ICE car ? (unless of course all EV owners are very restrained).

Where Rubber meets Road - Adampr

<< Don`t forget the new emissions regs that come in later also state reduction in brake dust and tyre dust, which should mean tyres and brakes will last longer, so drivers won`t have to buy them as often. >>

I haven't experienced the acceleration capability of an EV, but if it is as people say, I would expect rather more scuffing of tyres at start-off than in an ICE car ? (unless of course all EV owners are very restrained).

They still have traction control. In reality, though, you quickly get used to getting it rolling before jabbing at the pedal. It's like driving any other reasonably-powered auto in that regard. I certainly didn't 'light up' the tyres any more in my Corsa-e than I do in my Karoq.

Where Rubber meets Road - sammy1

Can only think that new regs on tyres and brakes will be just a drop in the ocean as regards pollution from these sources.