Drivers face massive tax hit

From 99 pence a litre fuel to £5,000 tax discs. These are the best and worst case scenarios under the Government's plans to tackle congestion and tax UK drivers.

Auto Express Car Reviews

Best case

Fuel 99p per litre
Road Tax top band £210
London Congestion Charge £8
Resident parking permits up to £100
M1 car share lane for high occupancy vehicles

By Mat Watson

08th November 2006

As Auto Express's motoring Green Gauge shows, the politicians are looking at a huge range of environmental penalties in an unprecedented assault on car numbers, usage and pollution.

The UK is already the most expensive place to run a car in Europe, with an average cost of £4,997 a year. But things could get a lot worse over the next five years, depending on how tough the authorities get.

Possible measures include an annual fuel tax accelerator of five per cent, which will see unleaded rise to £1.27 per litre at today's prices. Sheila Rainger, campaigns manager for the RAC Foundation for Motoring warned: "There could be tough times ahead for motorists. They are a soft target, and even greater taxation seems to be the plan for the future.

"Richmond Council in Surrey is already planning £300 charges for parking permits, and other boroughs may follow. London mayor Ken Livingstone has suggested the Congestion Charge could rise to £25, while Manchester and Birmingham have been given funding to look into their own tolls."

An increase in car tax is likely, too. In August, the Environmental Audit Committee called for VED to rise to £1,800, while the Liberal Democrats would like a charge of £2,000. Tory MP Tim Yeo has even suggested a top band of £5,000. Compulsory scrapping of older cars and a new car purchase tax have also been suggested.