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This document summarises the responses received on the design of new ultra-low emission vehicle bands in the company car tax system from 2020-21 onwards. It also sets out the government’s decisions on how company car tax bands will be structured from that date.
The government is consulting in order to seek views on the design of new ultra-low emission vehicle bands in the company car tax system. The consultation seeks to explore how best to incentivise the cleanest cars into the next decade, a period during which rapid innovation will deliver significant changes in the way motor vehicles are powered.
Responses are welcomed from a wide range of stakeholders including individuals, companies, and representative and professional bodies. In particular, a key issue is how to incentivise the uptake and development of step-change technologies over incremental improvements in existing technologies.