I really did not want to mention the budget through fear of losing the will to live. But as your motoring correspondent I guess I had better outline more doom and gloom us motorist will have to face.
All those who have a company car, your stuffed as company car tax thresholds will tighten by a further 5 g/km with effect from April 6, 2010. That will see the 15% company car tax band lowered from 135 g/km to 130 g/km.
Any one who puts fuel into their company cars – heaven forbid, will be penalised as the fixed figure on which the company car fuel benefit charge paid by employees who drive company cars and receive ‘free’ fuel for private use is based will rise from £14,400 to £16,900 from April 6, 2008.
However from April 6, 2009, the multiplier would increase at least in line with inflation. The move is designed to enhance the environmental incentives to drive fewer miles, according to the Government. Yes, salespersons out there, best invest in a pair of heavy duty walking boots. Despite giving us VED rates for the next few years in last years budget, the Government has changed policies completely. What a surprise. Basically they are all going up apart from Band A and B Companies who buy their vehicles outright or lease their fleet cars will be financially annihilated due to the Capital allowances system. And just before I slit my wrist, there is a God as the 2p increase in fuel per litre has been postponed until October. Best start stock piling now. Thanks darling!