2017 Budget: What does the diesel exchange mean?


  diesel pump Picture copyright

The sale of new diesel cars that do not meet the latest emission standards will face a tax increase in April.

It will apply to all diesel engines that do not meet the actual driving emission standards Step 2 on emissions.

According to experts, this means that most new diesel engines would be subject to an increase.

Philip Hammond said that the diesel tax change would apply only to automobiles, and "man" was not affected.

The chancellor said: "Drivers buying a new car will be able to avoid this charge as soon as the manufacturers present the cleanest diesel engines of the next generation that we all want to see.

The move was part of a series of budget policies designed to improve air quality and promote electric vehicles.

  • Live: reaction and budget badysis
  • Summary at a glance: key points of the budget

The chancellor also presented a clean air fund £ 220m, and £ 400m to improve the load infraest ructure for electric vehicles.

By Richard Westcott, transport correspondent:

The key issue … if you already have a diesel car, you will not pay anymore. [19659005] That's not a surprise, keeping in mind, people were encouraged to buy diesel engines a few years ago.The government was not going to impose a big tax on drivers who said goodbye They got a lot of money in good faith.

As of April, however, if you are buying a new diesel, you will probably pay more driving taxes in the first year. It depends on the emissions test you had to approve, so I would ask the dealer before buying.

The new tax increase will be applied until around 2021, when all new cars meet strict pollution standards. And this only applies to cars, not vans, trucks, et cetera.

Therefore, it is more a gentle and sudden push than a big push to convince people not to pollute diesel engines.

Of course, there is a danger that it will convince drivers to keep their old and dirtier diesel engines, instead of buying a new, cleaner one.

Peter Williams of the RAC motorsport group said: "The chancellor has chosen to be relatively light when it comes to taxes on new diesel cars.

" Any new diesel car registered as of April 1, 2018 You will receive a higher tax rate the first year unless it conforms to the latest real world driving standards.

"So the beleaguered current owners of diesel cars can breathe a sigh of relief because the Treasury will not punish them anymore, but they will have to be alert to local authorities who may be introducing clean air zones in the near future."

He added that a side effect of the Budget announcement could be that there is a risk that some drivers maintain their old diesel vehicles.

Mr. Hammond also established plans to promote more electric vehicle charging points., Leaving aside 200 millions of pounds sterling – a figure that will match the automobile industry – to improve infrastructure.

There will also be another £ 100 million in subsidies to help convince consumers to buy electric vehicles.

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