Ford ahead of CO2 tax with Focus Econetic
09 December 2009
Author: Tristan Young
Ford Focus Econetic
Ford's eco-efforts are suffering as a result of the Government's slow progress on CO2 taxation, according to marketing boss Mark Simpson.
Speaking at the 99g/km Ford Focus Econetic launch Simpson said he expected minimal sales of the car unless the UK business car tax system changed.
Under the current system there is little tax incentive for the driver to pick a car of less than 121g/km CO2 and for the company there's minimal incentive to select cars with less than 111g/km CO2 figures.
Ford is offering the new Focus Econetic in two forms; a 99g/km car including stop-start and a 104g/km car which does without stop-start and is £500 cheaper.
Simpson said that 97% of Econetic sales would be to fleet customers. He added that Econetic models would make up 3.5% of Focus sales in 2010, but only 14% of these would be the 99g/km model because the only saving for business was the £35 difference in road tax.
"However, tax has a five-times value influence," added Simpson. "So if you save £20 in tax it feels like £100. Tax feels more real, it's got something to do with people not liking giving money to the man with the funny eyebrows."
FOLLOW BUSINESSCAR ON TWITTER