Budget changes - impact on EVs?

[Oldgreybeard]

Ah yes, theres the rub. Given the inflation in the component supply chain, a couple of years of inflation and many smaller EV's are going to get closer to that limit. An "Expensive Car VED Premium" feels very different when all cars (well the ones that are available) are expensive.

Reckon that £40K threshold will get increased with inflation? "Fiscal Drag" - its the in thing I hear!

There's also the fact that the £40k threshold isn't the price you pay for the car, but is the manufacturers recommended retail price, including VAT and car tax. Most cars are discounted to some degree, for example ours had a manufacturer's price of around £31k but we actually paid £26k for it, as the dealers were all discounting the new price to some degree.

[nowty]

Once you take out the cost of batteries out of a £40k car, its hardly a luxury car and its a regressive tax as a Ferrari or similar pays the same.

[Stinsy]

Once you take out the cost of batteries out of a £40k car, its hardly a luxury car and its a regressive tax as a Ferrari or similar pays the same.

I agree!

Just a jealousy tax. Expect that sort of thing from Labour not the Tories!