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Reduce or remove VAT on low emission vehicles in order to speed up adoption

Submitted by David Graystone on Wednesday 10th November 2021

Published on Tuesday 16th November 2021

Current status: Closed

Closed: Monday 16th May 2022

Signatures: 25

Relevant Departments

Tagged with

Cars ~ Electric ~ Encouraging ~ Hydrogen ~ INCREASE ~ level ~ market ~ Owners ~ Ratings ~ Remove ~ Switch ~ Target ~ Targets ~ Tax ~ Up

Petition Action

Reduce or remove VAT on low emission vehicles in order to speed up adoption

Petition Details

The Government has set emissions targets, and reducing the tax on new cars with zero, or very low, emissions should help speed up the transition from older vehicles and encourage investment in low emission vehicles and associated infrastructure.

Additional Information

VAT charged on new electric and hydrogen vehicles help make them prohibitively expensive for most car owners to make the switch, even for entry-level cars. The lower end of the car market are unlikely to adopt low or zero emission vehicles until resale prices substantially fall.

Removing or vastly reducing VAT should increase the turnover rate of these vehicles, speeding adoption, reducing vehicle emissions and encouraging investment in associated infrastructure


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