Chancellor to consider lower VED rates for cleanest vans
Would Euro 6 vans, such as the Peugeot Expert, be considered for reduced VED?
Share this article
  • 2
  •  
  •  
  •  
  •  

A NEW way of incentivizing cleaner vans is being considered by the Chancellor. It follows the Spring Statement.

The current rate of Vehicle Excise Duty (VED) – or road tax to you and me – is £240 a year for all Euro 6 vans.

However, all zero emission vans are zero rated for Vehicle Excise Duty (as long as they are below £40,000).

Chris Chandler, Principal Consultant at Lex Autolease commented on this:

“The consultation on reduced VED rates for the cleanest vans has the potential to be good news for fleets.

“With new lower emission models coming on line, now is a good time for van fleets to start thinking about going green. We encourage customers to engage in the consultation, making it clear that the latest Euro 6 diesels remain the most practicable option for many.”

However, Matthew Walters, Head of Consultancy and Customer Data Services at LeasePlan, added a note of caution.

“We knew in advance that the Spring Statement would be light on policy. However, the Chancellor did make one announcement that will be of particular interest to fleets: a consultation into lowering the rates of Vehicle Excise Duty for the cleanest vans.

“This is welcome news. As a founding member of the EV100 initiative, LeasePlan is committed to low emissions. We strongly believe that vans should be part of this conversation as much as cars.

“However, it should be noted that the Government has already launched several consultations in this area – including one on electric vans – but is yet to announce the outcomes of them. If the Chancellor is to help us deliver on what’s next, then he needs to start confirming some of his policies.”

It means that vans, such as the winner of the Best Large Trades Van Award in our Business Van of the Year Awards, the Peugeot Expert (pictured), could get reduced VED for its clean Euro 6 diesel engine.

But as Walters noted, current detail is lacking.

Do You Have A Van Leasing Question?
Feel free to ask us your question...

LEAVE A REPLY

Please enter your comment!
Please enter your name here