Car tax price rises and savings planned

Thu, 13 Apr 2017

The Department of Infrastructure wants to make changes to the car tax system, increasing costs for the average driver.

Motorists who pay based on engine capacity will be charged between £1 and £31 more for their vehicle licence from May if Tynwald approves the proposals.

There are increases for the majority of the CO2 emissions classes too, although the two classes with the highest emissions will both see big savings.

However, the Department wants make electric cars exempt from paying vehicle duty, and reduce the cost for those operating commercial vans and good vehicles.

The DoI insists the changes are needed to generate income to maintain the highways network, as well as supporting local businesses and helping the environment.

Infrastructure Minister Ray Harmer will seek approval for the new pricing structure at this month's sitting of Tynwald.