A second record year for new car sales will lead to all-time high tax revenues from Britain’s motorists in 2002. Last year the Chancellor collected more than £41billion from the British motorist and this year promises to be another bumper tax haul for the Treasury.
- 2.5 million new cars will leave showrooms by the end of this year, generating more than £5.5 billion in VAT alone.
- In the five years from 1996 to 2001, total tax revenue from the motor vehicle sector rose by more than £10 bn, from £30.3 bn to £41.6 bn.
- More than £284 million goes from goods vehicle excise licenses to the Treasury.
SMMT chief executive Christopher Macgowan said, ‘This Christmas, Chancellor Gordon Brown can look forward to another sack load of cash, courtesy of the motor industry. Whether you are in business making parts and vehicles, or if you are a trucker, private motorist or car buyer, you can be sure that 2003 will be another year of giving, to number 11 Downing Street.’
Notes to editors:
- In 2001 the government collected £41,602,227,000 (£41 billion) vehicle taxation of which £22,600,000,000 (£22.6 billion) was fuel duty according to HM Customs and Excise data.
- At the end of November 2002 the new car market was on course for another year-end record. 2.5 million cars will have left UK showrooms by the end of 2002 of compared with last year’s total, 2.46 million.
- By the end of 2001, goods vehicle excise licenses totalled £284,894,000.
