Road tax, fuel duty - Take Deux

Okay assume I'm wrong and this isn't a ruse, don't look surprised I have been wrong on occasion before, listening to the bleating justifications coming from various heads I have to once again conclude that those people elected to represent us (well kind of) are drifting every further from the shores of reality.

The first problem is with all the news talking about retrospective/retroactive tax, talking to friends some seem under the impression that they're going to be getting a bill for that car they had two years ago; they're not. What all that stupidity is about is that this tax won't be applied solely to cars purchased that year, but also to cars bought in the last seven years.

The justifications consist of one rationale - that it will encourage people to buy 'greener' cars and they're right, while at the same time being idiots. If you're looking to buy a car for the first time or upgrading (or just bloody have to) then you will be most likely looking for a low emission type, however if you already own a higher-taxed car you've just been well and truly stuffed.

If you decide to change cars you will probably find that your current vehicle is now worth little more then scrap? So the choice is buy a new car at almost full value or suck up the hike in road tax. Although the first option may be the cheapest in the long term, the current situation in lending means this is out of reach for a lot of people unless they take out loans at an exorbitant rate.

So by raising the tax for older cars the government may well be keeping or putting more high emitting cars on the road, because those who were looking to buy a new one suddenly can't afford to, and those second-hand cars that are sold will see their prices drop and may suddenly become attractive despite the associated high road tax.