Month: May 2023

Drivers should be charged on a per-mile basis in a major overhaul of the UK’s motoring taxation system, according to a new report.

A pay as you drive scheme in the UK should initially apply to zero emission vehicles (ZEVs) such as electric cars before being expanded to cover all vehicles, centre-right think tank the Centre for Policy Studies said.

This would replace the “outdated and onerous tax system” of fuel duty and vehicle excise duty (VED), the document stated.

The Future of Driving report warned that the Treasury faces a “£25 billion fiscal black hole” as annual receipts from fuel duty dwindle, with motorists switching from petrol and diesel cars to electric models.

Under the plan to charge motorists on a per-mile basis, drivers of ZEVs would pay “significantly less” than those behind the wheel of petrol and diesel models to avoid “denting the take-up” of greener vehicles.

All vehicles would receive an annual allocation of tax-free miles, with more for those owned in remote areas with fewer transport alternatives.

The Government could announce that the new system will apply to all ZEVs from a certain year “towards the end of the decade”, according to the report.

It acknowledged that some drivers are “wary of the state tracking their movements constantly”, and suggested charges should be paid by a monthly direct debit, with no recording of where and when road users drove.

ZEV drivers who took part in focus groups conducted for the report “instinctively understood that the current tax-free status of their driving could not continue indefinitely”, the Centre for Policy Studies said.

The report added: “Petrol and diesel drivers rightly pointed out that it was unfair that EV drivers today contributed nothing to the upkeep of the roads, despite causing significant damage given their weight.

“Thus, while no-one likes to have their taxes put up, there was a begrudging consensus that the current system would have to adapt to the new future of ZEVs, and that those currently driving an electric car would have to stump up down the road.”

Electric vehicles are generally heavier than traditionally-fuelled vehicles due to the added weight of their batteries.

ZEV drivers do not pay fuel duty or VED, but road maintenance is funded by national and local taxes, rather than motoring taxes.

Dillon Smith, Centre for Policy Studies energy and environment researcher and report co-author, said the recommendations “can lead to fairer, better and more efficient taxation while tackling congestion and improving air quality in our big cities”.

Tom Clougherty, Centre for Policy Studies research director and co-author, added: “We shouldn’t replicate the old, punitive tax system, but it is still important that all drivers pay a fair amount for the roads they use.”

Steve Gooding, director of the RAC Foundation, said Chancellor Jeremy Hunt has to “walk a tightrope” as rushing to replace lost fuel duty income “risks stifling the green transition Government is desperate to promote”.

He added: “Given the imperative to get to net zero carbon, and the political sensitivity surrounding any changes to road taxes, the Chancellor might well conclude that losing a few billion pounds a year is a price worth paying to save the planet.”

A Treasury spokesperson said: “We are making sure that motoring tax revenues keep pace with the switch to electric vehicles, whilst keeping it affordable for consumers, and have no plans to introduce road pricing.

“With the EV transition accelerating, it’s right that all drivers start to make a fair tax contribution through changes to Vehicle Excise Duty but we continue to support the electric vehicle revolution through over £2.5 billion in incentives.”

British motorists are being urged to report ‘every blemish, crack and crater they see’ to councils to highlight the deteriorating state of the UK’s roads.

The AA is wanting to make 2023 ‘The Year of the Pothole’ by pushing drivers to report any damage to UK roads after the firm recorded a steep increase in the number of cars stranded by pothole damage in the first few months of this year.

According to the AA, it attended 52,000 pothole-related breakdowns in April 2023 – a 29 per cent increase on the same month in 2022. It says that an average of 1,735 drivers have had their vehicles damaged by poor-quality roads in April.

Councils have a responsibility to inspect the UK’s roads and keep them in good shape, but they can’t be held accountable for damage that hasn’t been recorded. The AA has said it is therefore ‘in everyone’s interest’ to report any damage, as well as give the authorities a better picture of ‘the crumbling state of the UK’s roads’.

Jack Cousens, head of roads policy for the AA, said; “The pothole pandemic looks set to remain for quite some time, with little hope of a cure on the horizon.

“In order to help government and councils understand the true state of our roads we need the public to report every pothole they see. Regardless of their size, depth, the type of road and its position in the lane, we need to make 2023 ‘The Year of the Pothole’ so we can get our roads repaired.

“Potholes come in all shapes and sizes, each one posing a different type of danger. While the worst are like deep caves, shallower splits that snake across the surface can catch the wheels of cyclists causing severe damage.

“On safety grounds alone, we need to do all we can to shine a light on the awful condition of UK roads.”

Councils across the UK have different ways of reporting potholes, with motorways and major trunk roads being the responsibility of National Highways. Websites such as ‘FixMyStreet’ will automatically log and send reports to the relative council in relation to potholes.

Road deaths in Britain rose 9% last year, leading to calls for the Government to give the issue “the attention and resources it deserves”.

Department for Transport (DfT) figures show 1,695 people were killed in crashes in 2022, up from 1,558 a year earlier.

Three out of four fatalities were male, and 384 were aged under 30.

The DfT said it works “tirelessly to improve road safety for all”.

Last year’s total number of road deaths represents a decline of 1% from 2013 and 3% compared with 2019, before the coronavirus pandemic affected travel patterns.

Separate DfT figures show daily traffic volumes in Britain were typically around 97% of pre-virus levels in 2022.

RAC spokesman Rod Dennis said the latest casualty statistics “make for gloomy reading”.

He added: “While the lack of progress over many years in bringing overall casualty numbers down is itself a cause for concern, the figures for the number of men – of all age groups, but especially the young – who are killed on our roads is stark.

“Every person killed is one person too many and we feel improving road safety needs to be given the attention and resources it deserves.

“We urge the Government to take a serious look at reintroducing casualty reduction targets to give the whole topic much more focus on a national stage.”

Mr Dennis added that ministers should review whether the long-term decline in the number of full-time road police officers has led to a worsening in driver behaviour and an increase in casualties.

A DfT spokeswoman said: “We welcome a continued decrease in road casualties compared with 2019 levels, and work tirelessly to improve road safety for all, including through our Think! campaign, updating the Highway Code to protect the most vulnerable road users, and recent funding of £47.5 million towards improving the 27 most dangerous roads in England through the Safer Roads Fund.”

The Government is set to miss its target for the installation of high-powered electric vehicle (EV) chargers at motorway services in England, according to new analysis.

In March last year the Department for Transport (DfT) pledged to “ensure that every motorway service area has at least six rapid chargers by the end of 2023”.

But RAC research shows only 27 out of 119 motorway services in England currently meet that target.

It stated that fitting high-powered chargers is “not straightforward” and urged ministers to “make this process simpler”.

Rapid charge points can add around 100 miles of range to an EV in 35 minutes.

They are seen as crucial to encouraging more motorists who use their cars for long journeys to make the switch from petrol or diesel to electric.

The RAC analysis is based on statistics from charger locator service Zapmap.

A DfT document from March 2022 stated that “many operators” of motorway services had “embraced the ambition” to install six high-powered chargers by the end of 2023, with “over 70%” of locations having a plan to deliver this.

It added: “We will continue to work with site operators to ensure that every site is reached.”

RAC EV spokesman Simon Williams said: “Our findings show there is much work to be done before the end of the year if the Government’s target is to be met.

“Installing these types of units is not straightforward as connecting to the electricity grid is expensive and time consuming, but clearly more needs to be done to make this process simpler than it is currently.

“While we understand the Government is taking steps to expedite matters, the importance of ensuring sufficient high-powered charging is readily available up and down our motorway network can’t be emphasised enough.

“A lack of charging facilities is rapidly becoming one of the most widely quoted reasons for drivers not going electric.

“All parties involved in making installations happen must work together to overcome this obstacle.”

Quentin Willson, automotive journalist and founder of EV campaign group FairCharge, said: “When you look at how quickly Tesla put their Superchargers into the motorway service network, you’re forced to wonder why the Government is working at such glacial speed to do the same.

“We simply must pick up the pace.”

The sale of new petrol and diesel cars will be banned in the UK from 2030.

A DfT spokesperson said: “While 97% of motorways service areas already have charging available, industry has plans to install many 100s more chargepoints in the coming months.

“We‘ve put more than £2bn into accelerating the transition to electric vehicles, and our £950m Rapid Charging Fund will further boost charging to support long distance journeys, including at motorway services.”

No new major road building projects in England starting before 2030 will be created, National Highways has proposed.

The Government-owned company has advised ministers it should focus on completing ongoing and delayed schemes, as well as improving existing roads.

Many National Highways major projects are behind schedule and over budget.

Public spending watchdog the National Audit Office (NAO) warned in November 2022 that 33 schemes were delayed by as much as three years, meaning those planned for between April 2020 and March 2025 will cost an estimated £3.3 billion more than initially expected.

Projects such as building a dual carriage and tunnel near Stonehenge, Wiltshire, and the Lower Thames Crossing between Kent and Essex have not received development consent.

In its proposal for the third road investment strategy (RIS3), which will cover the five-year period from April 2025, National Highways is proposing to work on existing projects.

The company plans to focus on reducing fatalities and serious injuries through modifications to single carriageway A roads.

It wants to increase investment in smaller schemes valued at between £2 million and £25 million to tackle safety and congestion problems, often by improving slip roads and junctions connecting to local roads.

There are also plans for 2,500 public electric vehicle chargepoints.

Roads minister Richard Holden said: “Our roads are vital to our economy, and the plans set out today will help to enhance connectivity and boost growth, while protecting the environment.

“Working with National Highways, we are committed to delivering safe, reliable journeys and reducing congestion in a way that supports our path to net zero.”

National Highways chief executive Nick Harris said: ”Our network of motorways and A-roads has a critical role to play over the next 30 years in supporting growth and levelling up.

“They bind together the regions and nations of the UK, facilitating national and international trade, and even under conservative forecasts demand for the network will continue to increase up to 2050.

“While we strive to maintain safe and reliable journeys for the vehicles that rely on our network each day, we know that ever higher levels of social and environmental responsibility will, quite rightly, be required of us.

“This means we will need to find new and innovative ways to continue connecting the country by facilitating active travel and public transport, and also using digital technology to help customers make more informed decisions and managing our network more efficiently.”

Steve Gooding, director of the RAC Foundation, said: “Achieving the vision for the strategic road network that we need requires two big challenges to be addressed: the fact that many of the roads and the structures that carry or span them are now decades old and in need of costly but essential structural maintenance, and the fact that absorbing more traffic without adding more capacity generally means more congestion.

“The fastest growing challenge faced by our roads is likely to be the effects of climate change.

“More extreme temperatures and rising levels of rainfall will lead to additional road closures and extra damage.

“Maintenance budgets need to go beyond filling in the potholes and painting the white lines to making sure routes are weather-proof. This won’t be cheap, but it is essential.”

Rishi Sunak is facing demands to renegotiate the UK’s Brexit deal amid warnings the car industry in Britain faces an “existential threat” without changes, putting thousands of jobs at risk.

Vauxhall’s parent company Stellantis told MPs it will be unable to keep a commitment to make electric vehicles in the UK without changes to the Trade and Co-operation Agreement (TCA) with the European Union.

Labour leader Sir Keir Starmer said “we need a better Brexit deal” to ensure firms such as Vauxhall can continue to operate in the UK.

Business and Trade Secretary Kemi Badenoch has raised the issue with Brussels, the Government said, and she has a pre-arranged meeting with Stellantis chiefs on Wednesday.

She has also raised the motor industry’s concerns about the TCA with Chancellor Jeremy Hunt and Foreign Secretary James Cleverly, according to Whitehall sources.

Stellantis – which also owns Citroen, Peugeot and Fiat – employs more than 5,000 people in the UK.

The firm told a Commons inquiry into the supply of batteries for electric vehicles (EVs) that their UK investments were in the balance due to the terms of the trade deal.

Under the TCA, from next year 45% of an electric car’s value should originate in the UK or EU to qualify for trade without tariffs, with higher requirements for batteries.

Without meeting the requirements, cars manufactured in the UK would face a 10% tariff, making domestic production and exports uncompetitive with cars built within the EU or countries such as Japan and South Korea.

Professor David Bailey, from Birmingham Business School, said: “I think there is a kind of existential threat to the UK car industry.”

He told BBC Radio 4’s Today programme: “Car makers have been saying for some time, they can’t meet those rules as they tighten up, and they’re going to potentially be facing tariffs.”

Meanwhile, the Labour leader told BBC Breakfast that although re-entry to the EU was not on the table “we do need to improve that deal”.

“Of course we want a closer trading relationship, we absolutely do. We want to ensure that Vauxhall and many others not just survive in this country but thrive,” Sir Keir said.

“Because there are jobs bound up, there are families watching this morning either employed by Vauxhall or a similar place who are deeply worried about what this means.

“So yes we need a better Brexit deal. We will make Brexit work. That doesn’t mean reversing the decision and going back into the EU but the deal we’ve got, it was said to be oven-ready, it wasn’t even half-baked.

Stellantis, the world’s fourth biggest car maker, committed to making electric vehicles at its Ellesmere Port and Luton plants two years ago.

But in a submission to the Commons Business and Trade Committee, the company said the Brexit deal was a “threat to our export business and the sustainability of our UK manufacturing operations”.

It called on the Government to reach agreement with the EU to maintain existing rules until 2027, rather than introduce next year’s planned changes.

Stellantis said the rise in the cost of raw materials during the pandemic and energy crisis meant it was “unable to meet these rules of origin”.

The company said that 10% tariffs would mean manufacturers “will not continue to invest” and will relocate.

“To reinforce the sustainability of our manufacturing plants in the UK, the UK must consider its trading arrangements with Europe,” Stellantis told the inquiry, listing Honda’s closing of its site in Swindon and investment in the US as examples of its impact.

Stellantis said there will be “insufficient battery production” in the UK or Europe to meet government targets in phasing out petrol and diesel vehicles by 2025 and 2030.

“It we are unable to rely on sufficient UK or European batteries, we will be at a major competitive disadvantage. In particular against Asian imports,” it said.

“We need to reinforce the competitiveness of the UK by establishing battery production in the UK.”

Electric cars and batteries were among the final parts of the Brexit deal agreed between then prime minister Boris Johnson and president of the European Commission Ursula von der Leyen in 2020.

Darren Jones, Labour chairman of the Business and Trade Committee, said the Government “has failed to secure UK car battery production”.

“Exports to the EU will be more expensive and car production will leave the UK, according to evidence submitted to our inquiry,” he added.

A Government spokesman said: “The Business and Trade Secretary has raised this with the EU and is determined to ensure the UK remains one of the best locations in the world for automotive manufacturing, especially as we transition to electric vehicles.

“We are supporting the industry through the Automotive Transformation Fund and Advanced Propulsion Centre to develop a high-value end-to-end electrified automotive supply chain in the UK and support cutting-edge automotive technologies.

“In the coming months, the Government will build on these interventions with decisive action to ensure future investment in zero emission vehicle manufacturing.”

Owners of one of Lamborghini’s most expensive and exclusive hypercars are now able to have a matching version of the firm’s Urus SUV to go with it.

The Lamborghini Essenza SCV12 was revealed in 2020 as a track-only hypercar. Based loosely on the Aventador, which has recently been discontinued, it uses that car’s naturally-aspirated 6.5-litre V12 engine, putting out a mighty 819bhp.

Just 40 examples of the hypercar were produced, with owners now having access to a special edition version of the Lamborghini Urus in a matching livery to the racing car. Only owners of the hypercar are able to purchase the special edition.

Called the Urus Essenza SCV12, it is based on Lamborghini’s flagship Performante model, and is worked on by the firm’s ‘Ad Personam’ division.

Cars can be chosen with a livery to match the hypercar, with Lamborghini said to work closely with customers when creating their SUV. The livery features a two-tone scheme, with the lower areas, bonnet and roof coming in a black and carbon-fibre finish. The number from the Essenza SCV12 hypercar is also used on the doors of the Urus.

Inside, the cabin comes in a black Alcantara finish with various carbon-fibre detailing used throughout. There are various Essenza SCV12 logos and silhouettes across the cabin, while a decorative element of the dashboard can have the customer’s name on it, or a Lamborghini 60th Anniversary logo instead.

Mitja Borkert, head of design at Lamborghini, said: “The Lamborghini Urus SCV12 Edition is the most expressive and detailed livery we have ever created. It is exclusively linked and designed personally for each of the 40 customers of the Lamborghini Essenza SCV12, and the result is a stormy, unique and colorful limited series of Urus.”

Lamborghini has given no indication of price, but with the Essenza SCV12 costing €2.2m (£1.91m), and a ‘standard’ Urus Performante costing £209,000, the combined price for both most certainly isn’t cheap.

Petrol prices have fallen to their lowest level in 18 months, as it slips under 145p a litre.

Motorists have faced steep prices at the pumps for an extended period, but prices have continued to fall in recent weeks, with the average cost for a litre of unleaded now standing at 144.95p a litre, as of May 14. It’s the lowest figure recorded since November 3, 2021, according to the RAC.

It means the average price for filling a typical 55-litre petrol family car is now £79.72 – a steep £25.60 saving on when prices reached their peak on July 3, 2022, when a litre of unleaded cost 191.5p.

The price of diesel has also continued to fall, with an average of 154.31p a litre recorded on Sunday. It’s the lowest figure since the end of February 2022, and a sharp fall on the all-time high of 199.09p a litre seen on June 25 last year. The average price to fill a 55-litre diesel car is now £84.87.

Despite that, the RAC has said that drivers ‘should be paying 20p a litre less’ for diesel. That’s because the wholesale price for diesel is currently 4p less per litre than petrol.

The RAC gives the example of an independent retailer in Shropshire, which is currently charging 131.9p a litre for diesel – 22p less than the UK average.

RAC fuel spokesman Simon Williams said: “Seeing the price of unleaded fall back under 145p a litre for the first time in 18 months is good news for the country’s 19m petrol car drivers.

“While it’s good news diesel has also dropped below 155p a litre for the first time since the end of February last year, drivers of the UK’s 12m diesel cars and countless businesses who rely on it to fuel their vehicles, should be paying 20p a litre less as its wholesale price is now 4p lower than petrol’s.”

It follows yesterday’s announcement from the Competition and Markets Authority (CMA) that it was investigating supermarkets to see if they had been overcharging customers for fuel by increasing their margins.

A 1977 Lamborghini Countach delivered new to singer Sir Rod Stewart is to go under the hammer at auction soon.

Just 157 examples of the special ‘Perscopio’ models were ever produced, with this particular model being converted to a ‘targa’ open-top layout during Stewart’s ownership. This was, however, later reversed with the car returned to its original condition.

Chassis number 1120262 was built in right-hand-drive layout for the Australian market but was bought by Stewart while on tour in the country. Finished in a red exterior with a ‘tobacco’ interior, the singer took the Lamborghini with him when he relocated to Los Angeles. It was at that time that a local specialist carried out the roof-changing modifications.

However, in 1987 it was brought by Stewart to the UK, where he continued to own it for 25 years before selling it in 2002.

The second owner of the Countach retained its previous owner’s modifications, but also conducted a full engine overhaul and converted it to left-hand-drive. In 2013, the car was sold once more with the new owner undertaking work to have it returned to factory specification.

The modifications made by Stewart were reversed, though the car retained its new left-hand-drive configuration. In 2022, the Countach was given some restoration work by Lamborghini’s dedicated classic department Polo Storico.

Offered by auction house RM Sotheby’s, the Lamborghini will go under the hammer on May 20. It currently carries an estimate of between €950,000 and €1,050,000 (circa £826,000 – £914,000).

The Archbishop of Canterbury was convicted of speeding just days after the coronation of the King.

Justin Welby was ordered to pay £510 in total for exceeding a 20mph limit in the Kennington borough of Lambeth on October 2 last year, a court spokeswoman said.

The archbishop also now has three points on his licence after being caught by a speed camera in his Volkswagen Golf on the A3036 Albert Embankment.

He was convicted and sentenced at a private hearing at Lavender Hill Magistrates’ Court on Wednesday – the same day he condemned the Government’s plans to tackle the small boats crisis as “morally unacceptable and politically impractical”.

The conviction, which was first reported by the Evening Standard, also came just days after the coronation of King Charles.

Mr Welby admitted the offence online, was fined £300 and ordered to pay a £120 victim surcharge and £90 in costs, the court spokeswoman said.

The prosecution was conducted through the Single Justice Procedure – allowing the court to deal with the matter through written evidence in a private hearing.

A Lambeth Palace spokeswoman said the Archbishop was aware of the speeding offence but had not been notified that it had gone to court.

The spokeswoman said: “He has tried to resolve this and pay the fine three times.

“He has all the paperwork to prove that he has tried to pay.

“Admin errors seem to be causing problems.”