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Jesse Norman, the Financial Secretary to the Treasury, revealed that the Government will “ensure that the tax system encourages the uptake of electric vehicles”. He was responding to an all-party Treasury Select Committee report on taxes after the pandemic.
His comments come in the wake of the Daily Express Zero For Zero campaign, calling for zero VAT on products with zero or near zero emissions.
We have highlighted how sales of electric vehicles currently carry 20 per cent VAT – the same as more polluting petrol cars.
The report said: “As set out in the Ten Point Plan for a Green Industrial Revolution, the Government will need to ensure that the tax system encourages the uptake of electric vehicles and that revenue from motoring taxes keeps pace with this change.”
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