The call comes from the BVRLA in its annual Budget Submission to the Chancellor on the back of current government plans to increase company car BiK tax on electric vehicles to 5% in 2015/16. The association adds that reversing the decision would give a huge incentive to businesses when choosing which vehicles to run. 

The BVRLA’s other suggestions to the Government include: 

• Making a car’s list price (P11D value) inclusive of the Plug-in Grant 

• Reinstating the First Year Allowance for ultra-low emission leased vehicles

• Supporting businesses to install charging points at workplaces

• Capping Approved Mileage Allowance Payments at 3,000 miles 

BVRLA chief executive Gerry Keaney said: ‘The Budget is the perfect opportunity for the Government to prove it is committed to driving the take-up of ultra-low emission vehicles. The suggestions we’ve made will increase business take-up of efficient cars and vans, and enable the government to meet its goal of moving the car fleet in this country to ultra-low emission vehicles by 2040.’

Keaney added: ‘BVRLA members are responsible for buying nearly half of all new vehicles sold in the UK every year and it is vital that the government supports this sector by encouraging sustainable business transport. The take-up of ultra-low emission vehicles will be a marathon, not a sprint, but where the rental and leasing industry leads, the private sector will follow.’