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Nobody could have predicted the tide of blue that swept England on May 7th which resulted in David Cameron resuming as UK Prime Minister.

Most experts predicted a coalition of some manner in the lead-up to polling day, even the bookmakers were clueless at first and then shuffled the odds in favour of a Milliband victory. How wrong they all were.

Something that is less certain though, is how motorists and business fleets will fare under another five years of Conservative rule.

The Tory manifesto outlined how they would improve Britain’s roads by patching up 18 million potholes. This will be fantastic news for your tyres and suspension.

They also outlined upgrades to the M1 and M6 in a bid to create a more interconnected transport network. If the Conservatives want to deliver such vast projects, it’s reasonable to expect that certain taxes will be inflated in turn affecting the cost of running a car.

Fuel duty has remained fixed since 2011 after the proposed rise in duty was scrapped. Planned increases have been delayed or cancelled ever since, surely it’s only a matter of time before we see another increase?

Many have called for changes to Vehicle Excise Duty. The number of new cars emitting below 100g/km CO2 has ballooned in recent years. The majority of small car models can now be acquired with a sub-100g/km engine.

Will the government respond to these changes in order to keep our roads in order?

Another contributing factor to this issue is the boom in Plug-in Hybrids. Hybrids like Mitsubishi’s Outlander PHEV, a sizable 4×4 emitting 44 g/km attracts zero VED despite the fact it can be driven as petrol car when the battery is flat. Does this mean we could see in future years VED exemption restricted to vehicles, which emit 50g/km of CO2 or less.

We have already been made aware that BIK tax for company car drivers with these ultra low emission cars will increase from 5% to 7% for 2015-16, and furthermore in years to come. This is all likely to hamper sales of such Plug-in Hybrids.


It is hard to predict exactly what will be in store for motorists over the next 5 years, but when running a company car it pays to be prepared for such changes that may affect you or your business.


For more advice please call us on 01243 510 650


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