What does the Chancellor's autumn statement mean for UK bikers?

The autumn statement from the UK Chancellor last week had some important information for motorists, relating to four wheels, but also to two. 

The headlines of course were the announcement of the beginning of road tax for electric vehicles from 2025, and the potential for a fuel duty increase of over 20%, which was not stated by the Chancellor, Jeremy Hunt, in his autumn statement but were predicted by the Office for Budget Responsibility (OBR).

Speaking more about fuel duty, the cut that was implemented by Rishi Sunak when he was Chancellor in the spring was planned to last for one year. Although it is predicted that there will be a significant rise in fuel duty in the spring, the 5p cut implemented by Sunak will not be removed before then, which is when it was due to be lifted, anyway. 

VAT on public charging points for electric bikes and cars has been something that the RAC and FairCharge have been calling to be reduced. We also reported on this recently, when it became apparent that increasing electricity prices were meaning electric vehicles were becoming almost as expensive to charge as combustion ones were to fuel. 

The disparity exists between domestic charging points - which have a VAT of five per cent - and public charging point, where the VAT is four-times higher at 20%. The autumn statement announced no changes on this front. 

Referring mostly to cars, RAC electric vehicles spokesman Simon Williams said: "We are disappointed the Government has not brought the rate of VAT on public charge points down to the same level as domestic charging.

"A third of drivers do not have access to a driveway or a garage, so will continue to be penalised not only by higher public charging prices but a higher rate of tax. Given the Government has asked owners of EVs to start paying vehicle excise duty, we would have hoped there could have been a trade-off with a fairer VAT rate on public charging."

Domestic charging is slightly easier for many riders of electric powered two-wheelers (PTWs) because in many cases their batteries are removable, but this is not universal.

There were also changes to company car taxation that were announced, which can be found on the RAC website for those who are interested.

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