Fleet News

Warning over VED plans

THE Government is being warned that its intention to introduce graduated Vehicle Excise Duty in autumn this year is 'over-hasty and 'ill-planned'. Norman Donkin, director general of the British Vehicle Rental and Leasing Association, first outlined his frustration at the way in which the CO2-based charging scheme was being introduced in January.

Now he is taking his message direct to the Government in the BVRLA's submission on the March 2000 Budget. While generally in favour of changes to taxation and VED to link them to CO2 emissions and pleased with the extent of consultation by the Inland Revenue on the proposed changes to BIK tax due for introduction in 2002, Donkin is critical of the paucity of information on graduated VED and is urging the Government to step back from the administrative abyss.

In the BVRLA's submission Donkin says: 'The introduction of graduated VED is over-hasty and ill-planned. In order that all those involved can plan for such a major change, and amend their systems accordingly, you must announce full details of the new scheme by the end of November. It cannot wait until the 2000 Budget. If you cannot announce details immediately, the introduction of VED should be postponed for a further 12 months so that all those affected can prepare for it on a proper basis.'

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