New pay-per-mile car tax system means 'additional fees' for these nine SUVs
15p per mile car tax bands and Vehicle Excise Duty (VED) bands mean larger vehicles could be targeted under the system. Larger vehicles, such as SUVs, may face additional fees for higher emissions, further increasing the cost, it has been warned by GM Direct Hire.
In the GM Direct Hire poll, 65 per cent of drivers, motorists and road users expressed concern that this new tax could force them to alter their holiday travel plans, with 42 per cent saying they might choose not to travel at all to avoid the added costs.
Majid Ismailzada, Marketing Director & Motoring Expert at GM Direct Hire, said: "It’s clear that many families are concerned about the impact of this new tax. With the cost of fuel and other expenses rising, the added burden of a pay-per-mile tax could make long-distance travel over the holidays less appealing for many."
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Popular SUVs in the UK include the Kia Sportage, Nissan Juke, Nissan Qashqai, Volvo XC40, VW T-Roc, and Hyundai Tucson, as well as the Land Rover Defender, Range Rover Sport and BMW X5.
Pay-per-mile road taxation, also known as road pricing, would see drivers having to pay more Vehicle Excise Duty depending on how many miles they drive per year, in conjunction with how polluting (or not) their vehicle is. Simply put, this means that those who drive less, pay less, and those that drive more and thus use the roads more, pay more.
The Treasury has declined to comment on any proposed VED shake up. “We are committed to supporting our automotive sector as we transition to electric vehicles in order to meet our legally binding climate targets," it said previously.
Auto Express also spoke to the Alliance of British Drivers, with ex-Chairman and spokesperson, Ian Taylor, admitting that “[We] do recognise that there is going to be a funding gap as vehicles go electric, but we still do not like the principle of road pricing.” “It’s regressive taxation, plus the means of implementation doesn’t come cheap and will involve tracking people’s movements all the time which comes with its own privacy concerns," he said.