2016 Budgetshite

[Eddie Honda]

This cock has just overtightened your sump plug...

 

 

And now the Budget news:

• 2.154 Insurance Premium Tax (IPT) – The standard rate of IPT will be increased from 9.5% to 10% with effect from 1st October 2016. (Finance Bill 2016) (61)
• 2.159 Fuel duty – The main rate of fuel duty for petrol and diesel will remain frozen at 57.95 pence per litre in 2016-2017. (54)
• 2.163 VED: classic vehicle exemption – The government will legislate to place the classic vehicle VED exemption on a permanent basis from 1 April 2017, so that from 1 April each year vehicles constructed more than 40 years before the 1 January of that year will automatically be exempt from paying VED. (Finance Bill 2016)
• 2.164 Vehicle Excise Duty (VED) rates and bands – From 1 April 2016, VED rates for cars, vans, motorcycles and motorcycle trade licences will increase by RPI. (Finance Bill 2016)

IPT was mentioned a couple of times, 0.5% increase (average of £2 on a motor policy) with the intention that "All the revenue raised from this increase in IPT will be invested in flood defence and resilience measures."

 

A Fuel Duty increase was tempting and it would have been a handy time to swipe it when the oil price was low, but it didn't happen.

 

The cut-off date for VED: Classic vehicle exemption. was set rolling again with Budget 2014. Initially, this was done by adding a paragraph in the Finance Bill, which would amend the Vehicle and Registration Act (VERA) 1994. It looks now that they'll do a permanent change to the VERA legislation to save having to insert it into the Finance Bill every year (or forgetting to).

 

"Approximately 98% of motorists owning a car first registered after March 2001 (post-2001 car) would pay no more than £5 extra VED. Owners of post-2001 vans and pre-2001 cars and vans would pay approximately £5 extra in VED." Full details on the VED rates and bands will appear when "The Overview of Tax Legislation and Rates (OOTLAR)" is made available. The revised DVLA sheet V149 doesn't get updated on the Gov.uk site until 1st April 2016.

[dieselnutjob]

has rolling 41 year old road tax exemption survived?

[SiC]

Mr Osborne also announced that the cost of crossing the Severn Bridge will be halved by 2018. It currently costs £6.60 to drive a car over the bridge.

About fecking time too.

[saucedoctor]

Prepare for lots of coverage of Jamie Oliver, the fat-tongued mockney ballsack. To misquote Marie Antoinette "let him eat lead".

[oldcars]

Sad sad day. 

You can tax our bru, but you will never take our freedom.

[bub2006]

Bring back rolling 25 year road tax. Mind I would say that seeing as ovlov is 25 in august

[garbaldy]

Oh god please don't say they have stopped the rolling tax exemption or we will have petitions posted all over the Internet yet again.

[Eddie Honda]

No, they updated it from annual insertion (phnarr phnarr) to automatic rolling exemption.

 

I remember when Ken Clarke started it back in 1994, Gordon Brown stopping it in 1997 and dealing with half-wits many years later still thinking it was rolling when selling 1973 chod. The thing is, it was easy to justify in Ken's day as it involved something like 66,000 vehicles. By the time Gordo stopped it, the concession was applicable to somewhere in the region of 320,000 vehicles.

 

I'm not sure of the numbers now, but the current Gov reckons it's only 10k vehicles a year being added to the exempt pool.

[bub2006]

Brand new vehicles becoming a necessity for some folk means less older Shit e on road. I rarely see anything over 15 years old now. I don't plan on starting petition either!

[SiC]

Rolling tax exemption is essential if we're expecting high co2 stuff to survive. £500 per year tax on modern stuff will kill many, many off on 2006 and newer cars.

[saucedoctor]

^ Although being able to tax monthly should ease that a bit.

[HH-R]

If you're a public sector worker, be prepared for a NI increase from Apr 1st too.

[Lacquer Peel]

Kill the poor.

[HH-R]

Duty not going up on bottles of Scotch though, life's good eh?

[Guest Breadvan72]

It appears that you will no longer have to apply for VED exemption.  It will just happen in the April after the car turns 40.  

 

My Dolomite (December 1975) gets VED exemption next month.  My Landy (March 1976) has to wait another year.  My Daimler (May 1973) already has exemption.

 

25 years would be daft.

[doobietoo]

£5 a week better off...... Cheers George... I will be able to afford another car by xmas with the price of scrap...

[billyboy406v6]

 I think its a great budget, I was piss poor before and now still piss poor, so Gordo has not managed to bum rape me, result !

[garbaldy]

It appears that you will no longer have to apply for VED exemption. It will just happen in the April after the car turns 40.

 

My Dolomite (December 1975) gets VED exemption next month. My Landy (March 1976) has to wait another year. My Daimler (May 1973) already has exemption.

 

25 years would be daft.

 

Hold on a mo does that mean my landy gets free tax next month as its a march 75,

If so then this is the first time a budget has actually made me better of by a whole £220 odd quid.

[Guest Breadvan72]

Yes.  Fill in the V5 for a tax classification change to Historic Vehicle and send it to Swansea.

[Kiltox]

Rolling tax exemption is essential if we're expecting high co2 stuff to survive. £500 per year tax on modern stuff will kill many, many off on 2006 and newer cars.

So garage up a few 2006 on Laguna II V6s for 30 years and profit, right?

[captain_70s]

So... Worth hanging on to my Doloshite for another year then, surely.