Introduction Details of the Section
2.Subsection (2) amends paragraph 1(2) of Schedule 1 to VERA to increase the general rate of VED by £15 to £205 save for vehicles with an engine size of 1549cc or less.
3.Subsection (3) introduces the amendments made to paragraph 1B of Schedule 1 to VERA to bring into effect separate rates of duty payable on the first vehicle licence on a light passenger vehicle (a car), as well as to change rates of duty payable on other licences for cars first registered on or after 1 March 2001.
4.Subsection (4) amends paragraph 1B of Schedule 1 to VERA to specify that the annual rate of duty applicable to a car registered on or after 1 March 2001 shall be determined in accordance with the tables substituted for the existing table by subsection (7).
5.Subsections (5) and (6) inserts new sub-paragraph 1B(c) to Schedule 1 to VERA to add an additional factor to those determining the annual rate of vehicle excise duty applicable to a car registered on or after 1 March 2001. Reference is to be made to whether the duty is payable on the first vehicle licence for the vehicle.
6.Subsection (7) substitutes new rates Table 1 and Table 2 for the existing rates table, to provide rates payable on a first vehicle licence on a car, and on all other licences for cars registered on or after 1st March 2001. Table 2 operates so that cars emitting over 225 grammes of carbon dioxide per kilometre that were registered in the United Kingdom or overseas before 23 March 2006 pay a lower rate than those registered from 23 March 2006 onwards
7.Subsection (8) amends paragraph 1J(a) of Schedule 1 to VERA to increase by £15 to £200 the rate of duty for those Light Goods Vehicles which are not lower-emission vans. Lower-emissions vans are models which met the Euro 4 air quality pollutant emissions standard early and were registered on or after 1 March 2003 and before 1 January 2007, or that meet the Euro 5 pollutant emissions standard early and are registered on or after 1 January 2009 and before 1 January 2011.
8.Subsection (9) introduces the Schedule which contains further provisions about rates of duty including the application of rates of duty payable on a first vehicle licence for a car.
9.Subsection (10) provides that all new rates under this section will take effect for licences taken out on or after 1 April 2010.