Motor Vehicles: Manufacturing Industries

Kerry McCarthy
To ask the Chancellor of the Exchequer what representations his Department has received from the motor trade on the effect on car dealers of the provisions in the Finance Act 2008 specifying that only registered owners of vehicles can apply for rebates of vehicle excise duty; and what estimate has been made by his Department of the costs to the motor trade of those provisions.

Angela Eagle
Treasury Ministers and officials receive representations from a wide variety of organisations in the public and private sectors as part of the process of policy development and delivery. As was the case with previous Administrations, it is not the Government’s practice to provide details of all such representations.

As detailed in my answer of 9 March 2009, Official Report, column 104W, by advising their customers to take the tax disc for a refund when selling a car into the trade, car dealers can preserve the financial benefit of Vehicle Excise Duty refunds for all parties.

The Treasury does not expect to receive additional revenue as a result of this change.