Cookies on the Attwoods website

We use cookies to ensure that we give you the best experience on our website. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on the Attwoods website.

Open

Latest news

Explore insightful perspectives and expert advice on finance

Home |Latest news |'Road Duty' needed to ensure electric vehicles 'don't put pressure on public finances'

Latest news

Browse by category
Business News

'Road Duty' needed to ensure electric vehicles 'don't put pressure on public finances'

June 07 2023

Think tank the Resolution Foundation has called for the government to urgently reform road taxes so that the transition to electric vehicles 'doesn't put pressure on public finances and road congestion'.

The Foundation stated that electric vehicles accounted for one in seven new cars bought in 2022. It said that this is good news for both the planet and motorists as electric vehicles are cleaner and cheaper to run.

However, the think tank suggested that the transition to electric vehicles creates challenges for the government as the lower running costs associated with electric vehicles are partly due to lower taxation relative to petrol and diesel vehicles.

It said that the transition to largely tax-exempt electric vehicles 'is creating a growing fiscal hole in the £32 billion of revenues currently collected via Fuel Duty and Vehicle Excise Duty (VED)'.

Commenting on the matter, Jonny Marshall, Senior Economist at the Resolution Foundation, said: 'The switch from fossil-fuel-powered cars to electric vehicles is a key part of Britain's net zero transition, and it's happening quicker than most people expected. This is good news for the planet and motorists as electric vehicles are cleaner and cheaper to run.

'But unless we modernise road taxation to reflect the cars that are on our streets today and in the future, we risk putting more even pressure on the public finances and our crowded roads.

'We need a new GPS-based 'Road Duty' for electric vehicles to offset falling Fuel Duty revenues and ensure that the net zero transition doesn't leave poorer drivers in older cars bearing the burden of vehicle taxation.'

Here to help

Please complete the form below and our expert team will be in touch.

  • Contact details

    • *
    • *

  • What services are you interested in?

    • *

  • Message

    • *

  • Which location would you like to contact?

  • Communication

    • *Indicates a required fields.†At least one form of contact is required.

      By submitting this form, you agree that Attwoods can process your information in order to respond to your enquiry. For more information visit our Privacy Policy.

Bromsgrove
Bromsgrove

Attwoods is proudly based in the historic market town of Bromsgrove, Worcestershire

  • 182 Worcester Road
  • Bromsgrove
  • Worcestershire
  • B61 7AZ
Call us01527 874170
Learn more about BromsgroveGet in touch
Evesham
Evesham

Attwoods is proudly based in the picturesque town of Evesham, Worcestershire; nestled in the heart of the Vale of Evesham

  • 90-92 High Street
  • Evesham
  • Worcestershire
  • WR11 4EU
Call us01386 424388
Learn more about EveshamGet in touch
Pershore
Pershore

Attwoods is proudly based in the Georgian market town of Pershore, Worcestershire.

  • Perrott House
  • 17 Bridge Street
  • Pershore
  • Worcestershire
  • WR10 1AJ
Call us01386 554870
Learn more about PershoreGet in touch
  • Xero Logo
  • Gold Partner Logo
  • Sage
  • QuickBooks Platinum

The practices of Attwoods are carried on by Attwoods Accountants Limited, Attwoods Business Services Limited, Attwoods (Bromsgrove) Limited. Regulated for a range of investment business activities by the Association of Chartered Certified Accountants.