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Company Cars: Taxation

Treasury written question – answered on 6th March 2019.

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Photo of Lord Campbell-Savours Lord Campbell-Savours Labour

To ask Her Majesty's Government what assessment they have made of the impact of maintaining company car tax rates on the transition to electric vehicles following the introduction of the Worldwide Harmonised Light Vehicle Test Procedure.

Photo of Lord Bates Lord Bates The Minister of State, Department for International Development

The government has engaged with stakeholders as part of the review of the Worldwide Harmonised Light Vehicle Test Procedure (WLTP) and vehicle taxes which closed on 17 February.

The review sought evidence on how reported carbon dioxide emissions are impacted by the introduction of WLTP and whether any adjustment should be made to Vehicle Excise Duty and company car tax from April 2020.

Responses to the review are currently being analysed and the government has committed to publishing a response in the spring.

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