BVRLA backs government budget
The BVRLA has welcomed the range of electric vehicle grants and tax incentives announced by Chancellor Rishi Sunak in yesterday’s Budget.
The association, the trade body for the vehicle rental, leasing and fleet industry, said that the measures announced would provide a major boost for those looking to speed-up the transition to zero-emission transport.
Retaining the much-needed Plug-in-Grant, helping businesses with the cost of connecting charge points to the grid, providing long-term certainty around Company Car Tax and making zero-emission cars exempt from Vehicle Excise Duty were all BVRLA policy asks that have been granted.
BVRLA chief executive Gerry Keaney said: “The Budget shows that the Government is listening and is ready to support those that are ambitious enough to embrace its decarbonisation targets.”
Key announcements include: £532m to maintain the Plug-In Car and Van Grants until March 2023; freezing company car tax rates between 2023 and 2025; exempting all zero-emission vehicles from the VED ‘expensive car supplement’ until 2025; pledging £500m for rapid charging infrastructure, including a new fund to support connections to the electricity grid; and eliminating the Van Benefit Charge for zero-emission vans from 2021
Keaney said: “Tackling road transport emissions and improving air quality is top of the agenda for government, industry and society. The Plug in Car Grant and VED measures outlined will play a massive role in making EVs more affordable for thousands upon thousands of businesses and drivers across the UK.
“Having a roadmap for the future of Company Car Tax up to 2025 removes the uncertainty that we know stifles business decisions.”
As well as being the UK’s largest purchaser of new vehicles, the vehicle rental and leasing industry is also the largest single supplier of nearly new vehicles, selling 1.5 million vehicles annually into the second-hand market.
The latest 2019 data shows that vehicle rental and leasing companies are already leading the transition to cleaner transport, with 100% of the car rental fleet and 96% of leased cars being Clean Air Zone-compliant.
Keaney continued: “With an average fleet replacement cycle of 1-3 years, the vehicle rental and leasing industry is ideally placed to drive rapid EV-transition in the UK and we will use these fiscal incentives to continue to lead the way in driving the shift towards cleaner road transport.”
