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8 September 2008

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Jackson over backdated VED charges

News | Community

City MP Stewart Jackson warned at the rising cost of driving for families across Peterborough.

Stewart Jackson MP

Speaking after the Conservatives released new figures showing that the Government’s retrospective changes to Vehicle Excise Duty will leave twice as many people worse off by double as much money as the 10p tax rate fiasco.

After the Government’s compensation package announced last month, the abolition of the 10p tax band left 1.1 million low-earners, on incomes between £6,635 and £13,355, losing out by up to £112 a year, according to Treasury figures.

However, retrospective changes to VED announced in the Budget will see more than twice as many people (2.3 million) paying up to twice as much - between £100 and £245 more.

This is due to the Government’s announcement in this year’s Budget to retrospectively tax drivers of Band F cars (those emitting over 186g/km CO2, registered before 2006), who will no longer be exempt from the full force of VED. These cars will tend to be older cars, owned by families or those on low incomes.

Stewart said: “This is once again another stealth tax imposed on hardworking families across Peterborough.

“The Government is punishing people for buying cars before this legislation was even announced.

“This new tax imposed by the Government will hurt families who are already finding it increasingly difficult to cope with the rising cost of living, Ministers must realise that it is punishing those least able to afford it.”

Stewart Jackson was elected in May 2005 to represent the Peterborough constituency in the House of Commons. To find out more about him, his views and activities, visit his website at www.stewartjackson.org.uk

Peterborough UK Community Website - June 2008




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