Wed, 18 May 2005
The Chancellor is planning to freeze company car tax - a move that it likely to be supported by a number of small businesses throughout the UK.
Gordon Brown's decision to stop tax increases will please drivers who rely on company cars - at present more than half the cars on UK roads are part of a company fleet.
The company car tax aims to encourage firms to adopt eco-friendly models as cars emitting less than 155g/km of carbon dioxide have a tax liability on just 15 per cent of their list price. This charge rises by one percentage point for every 5g/km up to a maximum of 35 per cent.
© DeHavilland Information Services plc

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