ELDERLY DRIVERS IN THE UK FACE NEW 'BENEFICIAL' CAR TAX RULES IF THEY DRIVE LESS

Elderly drivers could benefit from pay-per-mile road tax changes and VED (Vehicle Excise Duty) rates. Motorists are being told that older drivers and mature road users could benefit from the changes in pay-per-mile rules and regulations.

The managing director of tax specialists at RIFT, Bradley Post, explained that drivers who travel less will pay less under the scheme. Speaking to Express.co.uk, Bradley said older road users could be one set of individuals to see the benefits.

He said: "The pay-per-mile car tax has been proposed as a replacement to car tax which will essentially see motorists charged based on the number of miles they drive each year. The idea behind it is to replace fuel duty tax revenues that the government will lose out on as more drivers transition to electric vehicles.

"Those due to benefit most are the motorists who don’t rack up the miles, older motorists, and those who live in more urban areas with good public transport links," he added. The system would replace the current VED car tax system currently in place, meaning drivers will instead pay tax based on their annual mileage, BirminghamLive reports.

Ministers within the cross-party Commons transport select committee claim that motorists could expect to pay around the same as they do in car tex per year because the pay-per-mile rates will reflect not only how much you travel, but also how ‘clean’ your car is.

Cars that are lower polluting will get reduced rates, much like in the current tax system, although electric car owners would no longer be able to avoid paying. Transport experts say higher taxes are needed to reduce traffic congestion, with drivers already wasting one billion hours stuck in traffic every year.

Director of the Institute of Fiscal Studies, Paul Johnson said: "Unless we want to lose an awful lot of tax revenue, we’re going to have to move to some way of taxing driving and the obvious way to do that is some kind of road pricing."

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2024-07-25T10:44:18Z dg43tfdfdgfd