The BVRLA has criticised Chancellor George Osborne’s attack on company car drivers in the Autumn Statement, and raised its concerns over the budget cuts announced in the Spending Review.
“We’re disappointed with the Chancellor’s decision to defer the removal of the 3 per cent diesel supplement on benefit in kind tax bands,” BVRLA Chief Executive Gerry Keaney said. “This move will penalise company car drivers for decisions they have already made, based on the Chancellor’s 2012 announcement that the supplement would be lifted in 2016. What is especially frustrating is that many of these motorists are being penalised for driving some of the latest, safest, most fuel-efficient vehicles on UK roads.”
The BVRLA is also concerned that a 37% budget reduction for the Department for Transport (DfT) will result in costs being transferred onto the fleet sector. “What will the DfT have to stop doing to achieve these savings?” Keaney asked. “While we welcome the announcement that companies will benefit from more efficient digital systems, the government must not compromise on the quality or delivery of these services to save money.”
The BVRLA welcomed the extra money that was announced for the Transport System Catapult, as this will support innovation in Intelligent Mobility technologies and business models. Commenting on the announcement, Keaney said: “We now eagerly await news on how the government will continue to support Ultra Low Emission Vehicles – we are particularly keen to hear about the future of the Plug-In Car Grant.”
Elsewhere, there was good news for the car rental industry as the government promised to increase support to tourism by creating a new £40 million Discover England Fund to boost tourism across England.
The BVRLA will continue to engage with all relevant Government departments and work to ensure its members’ needs are considered going forward.