Business car managers missing low CO2 message

Businesses are missing the message underlined in the Budget: low CO2 emission business cars will cost your business, and drivers, less. GE’s John Kelly reports.

TOO many businesses are still missing the message behind ongoing government policy underlined in the Budget: choosing lower CO2 company cars will reduce costs for employers and their drivers.

These include new changes to the Company Car Taxation scale – this encourages drivers into more environmentally friendly company cars; revisions to the Vehicle Excise Duty scheme; and notice that Fuel Duty would be rising.

These are all clear indications that the government will continue along the policy it has promoted over several years – a push towards gradual but ever lower CO2.

However, at GE Fleet Services we still frequently find ourselves sitting in front of employers – both small and large – who have missed this point.

What these companies have failed to realise is this.

Whichever party is in power, we are likely to see a process whereby the taxation regime – through a combination of carrot and stick – will promote ever lower CO2 company vehicles.