Edmund King, AA president, described the Budget as a
‘Budget to keep Britain moving and gets us out of a hole’ and
added: “Putting more money from motoring taxation into potholes;
freezing fuel duty; improving roads such as the A303 and A1; and
spending £500m on electric vehicle charging, will all contribute
to keep Britain moving in the years ahead and gets us out of a
hole.”
On fuel duty freeze:
“We are pleased the Chancellor has listened to our calls to
maintain the freeze in fuel duty. An increase would have had a
negative impact on both households and business at a time when
the economy is fragile given the current circumstances.”
On roads investment:
“During the election, the Prime Minister promised the
biggest ever pothole fund of £2 billion. We are glad he has kept
his word and even provided an extra £500 million to the fight the
cause. While it will fill over 50 million potholes, there will
still be some way to go before our local roads are completely
smooth. Councils receiving their funds should be urged to focus
on resurfacing rather than patching.
“The £27 billion investment in the nations motorways and
major roads is fantastic news. Improvements to roads like the
A417, A1, A303 and A46 are long overdue and will be welcomed in
order to tackle congestion.
“When it comes to upgrading motorways, we hope some money
will be made available to add more emergency refuge areas on
‘smart’ motorways and that the best stopped vehicle detection
systems will be installed as standard on new schemes. Some of the
money should also be used to retrofit additional laybys on
existing schemes.”
On electric vehicle research, charging points and
incentives:
“The £900 million research and development fund which
electric cars can draw from is welcome but we would have liked to
have seen more immediate investment for gigafactories. In order
to secure the supply chain of batteries for electric cars a
commitment to building these factories would have been a flagship
moment.
“Investment of rapid charging points is needed and the
Chancellor has recognised this. One of the areas that needs
urgent attention is charging where drivers do not have a
dedicated off-street parking space, so conversations need to take
place with regional electricity boards and local councils to
resolve this issue.
“Extending the plug-in grant for another three years
(2022-23) was a good move*, but the Chancellor could have been
bolder to help shift the dial on electric cars. Had he followed
our calls the scrap the VAT, it would have had an influential
impact on drivers looking to change their car.”
On Vehicle Excise Duty (VED) changes:
“There will be a consultation on plans to change VED** in
an effort to link more closely with CO2 emissions. We need to
study the detail but it could lead to higher rates of car tax for
new and used cars.”
On Insurance Premium Tax freeze:
“The Chancellor has made the right decision in freezing
Insurance Premium Tax at 12%. Keeping car insurance affordable
plays an important role in road safety, and any hike on IPT would
have been a stealth tax on legal motoring.”
ends
NOTES TO EDITORS
* see page 81 https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/871802/Budget_2020_Print.pdf
** https://www.gov.uk/government/publications/vehicle-excise-duty-call-for-evidence
