Ahead of the Government’s Spring Statement on 23 March the BVRLA has written to the Chancellor with some suggestions on how to maintain the growing momentum for zero emission vehicles.
The most pressing concern raised by the BVRLA on behalf of its members is that of Benefit in Kind (BiK) rates. The lack of foresight now provided on BiK rates risks undermining the vital company car and salary sacrifice markets. The BVRLA has been engaging with HM Treasury extensively on this matter, urging them to avoid any ‘cliff edge’ tax increases and maintain tax incentives for as long as possible.
Elsewhere, the disparity between VAT rates on domestic and public electricity supplied for vehicle charging remains a significant concern to BVRLA members. The association's Spring Statement submission calls for an equalisation of those respective rates – at 5% – to increase the affordability of the public charging network.
Beyond that, the BVRLA has called on the Chancellor to:
- Start conversations with the industry on road pricing
- Increase support for zero emission vehicles for rental operators and car clubs
- Introduce new measures to support the transition to shared mobility
- Reform capital allowances to work for the sector
The BVRLA will keep members updated with any announcements from the Spring Statement and what they could mean and will continue to work with the Government and its associated agencies to represent members throughout the year.
For more details about the association’s Spring Statement Representation, members should email [email protected]
