Government urged to slice ‘discriminatory’ car tax rule

Experts at Electrifying.com claims it is ‘disappointing’ pleas to scrap electric car  tax fees are ignored just years before the sale of new petrol and diesel vehicles are banned in 2030. Electric car charging bays offer two separate charges with those topping up at public bays set to be caught out with higher VAT rates. Private at-home bays charge motorists five percent VAT while those charging in public areas will pay 20 percent. Ginny Buckley, founder and CEO of Electrifting.com has pushed for the charge to be scrapped to help motorists transition to EVs. She said: ‘While access to free charging – even occasionally – is a brilliant incentive to encourage more drivers to make the switch, it isn’t a sustainable solution. Car tax rates have been called out (Image: Getty) ‘That’s why It’s disappointing to see that calls for a reduction in the 20 percent VAT currently imposed on public chargers to five percent – bringing it in line with home charging – continue to be ignored. ‘We also need to see more energy providers introducing cheaper night tariffs at public charge points to help balance the supply grid and benefit those without access to off-street parking. ‘Now is the time for those in charge to step up their game and start listening to both experts in the industry and consumers, so that no driver is left behind on our electric journey.’ According to new data from Electrifying.com charging an electric vehicle in public could cost over £1,000 more. Those without access to off-street parking may pay a whopping £1,213 per year to fill up their vehicles. This is significantly higher than just £176 drivers with off-street parking may be forced to stump up. The number of free public chargers is also down compared to last year as incentives for EV owners dwindle. Just 3,568 chargers were free to use compared with 5,430 public bays this time last year. Last month the Society of Motor Manufacturers and Traders (SMMT) demanded VAT rates were sliced on electric charging. Electric car charging costs are higher in public areas (Image: Getty) Experts at British Gas have also branded the excessive tax rates as ‘discriminating’. Gav Murray, director of EVs at British Gas explained: ‘Those that do have access to public chargers face unfair costs for their use. ‘We need to see VAT on public chargers – currently four times higher than the rate paid by those able to charge at home – cut to the point of parity, so not discriminating against people who want an EV, but have to rely on public chargepoints.’