Autumn Statement 2014: Lex Autolease's verdict
03 December 2014
Lex Autolease's Andrew Hogsden, Senior Manager, Strategic Fleet Consultancy, has delivered his verdict on the chancellor's latest moves.
Fuel Duty frozen:
"British businesses are burdened with some of the highest fuel prices in Europe. Reducing fuel duty would provide them with an immediate cashflow boost as they look to capitalise on the opportunities presented by the recovering economy. Unfortunately the Government's decision not to reduce fuel duty means they remain saddled with this costly overhead."
Plug-in grants for electric vehcies:
"The financial incentive of a plug in grant has made electric vehicles more affordable for businesses and motorists in general. Rather than remove this grant in 2017 or when vehicle sales reach 50,000, we would have preferred to see a phased reduction to ensure the fledgling electric vehicle industry is not damaged by a sudden drop in sales
"The lack of clarity around mileage reimbursement rates for electric vehicles is a barrier to more businesses adopting this technology. Whether it's a company car or a private car used for work purposes, companies need clarity and certainty regarding the costs incurred in running electric vehicles and HMRC's treatment of those costs"