It was reported last week that business adviser Macintyre Hudson believed it was likely that the Chancellor would adopt proposals from the RAC Foundation to introduce a £200 top rate for cars producing more than 250g/km of CO2. Richard Tarboton, head of the EST’s transport business unit, said it was a positive move. He said: ‘The structure of the system is very good and it’s good to get that moving forward.
‘Although the rise of the top rate from £170 to £200 isn’t a big difference, it does send an important signal. Customers need to be aware of the environmental issues when they buy a new car.
‘The actual amount of money is another issue to be researched further.’
The Budget will be announced on Wednesday.