All together now 1,2 ah ,3

"they say that this government

is doing mighty fine.

They give you thirty shilling (No fuel duty increase)

and take back twenty nine (VED increase)"

dvd

£140 is not expensive.

EVs are subidised only to establish a market, not because they are more virtuous. Economics will always apply.

£140 is not expensive.

EVs are subidised only to establish a market, not because they are more virtuous. Economics will always apply.

Perhaps, but all those people who shelled out £5k+ more for a PHEV or hybrid (new or second hand) just cost themselves an extra £130 more a year and probably feel cheated. As I said, it's not the money per se (although after 5 years, that's £650, quite a tidy sum), but the incentive to buy them has now gone, so why would someone buy a second hand one when a petrol would be taxed at the same amount and cost potentitally £0000s less?

If sales drop too much, the 'incentives' will be adjusted. I expect there will be stick and carrot adjustments.

No EV buyer could have supposed that the state could afford to forgo tax on an increasing amount of car use indefinitely? And £140 is a nicely chosen number - not big enough to upset change the economics (which are much more to do with fuel cost) materially, and can be harmonised with the scales for fossil power.

The other future source of tax, given it will be difficult to charge it on electricity which is a fungible commodity, will be road charging which will also apply to EVs, hybrids and fossil cars.

If it's rising in line with inflation, that's a 0% rise in real terms.

It is only a 0% rise if your income goes up in line with the RPI; mine has not.

RPI rises:

2017 Q4 4.1%

2018 Q1 3.8% Q2 3.5% Q3 3.1%

I thought the government used CPI for things like this - 2.4% for the year ending September 2018 which is used ffrom 1st April 2019.