George Osborne, the Chancellor
of the Exchequer for the Conservative-LibDem Coalition government, presented his
annual Budget Statement to the House of Commons on Wednesday 20th March 2013.
As usual we have a prompt report on the measures announced which will be of interest
to the classic motoring enthusiast all within less than 30 minutes of the Chancellor
sitting down in the House of Commons.
Budget
The Budget provided
an update on the Government’s plans for the economy based on the latest forecasts
published alongside the Budget Statement by the Office for Budget Responsibility.
Full details of the announcements are available on the HM Treasury website following
the Chancellor's
statement to Parliament but as usual we have a prompt report on the measures
announced which will be of interest for the classic motoring enthusiast.
HM Treasury website
Budget Statement
2013 from the Chancellor of the Exchequer. More
HM
Treasury Budget 2013 document. HM
Treasury
HMRC support material for the Budget Statement 2013.
More
Income
tax personal allowance for those born after 5 April 1948 and basic rate limit
for 2014-15. HMRC
Reports
on earlier Budget and Mini-Budget statements
Autumn
Statement 2012
Our prompt report of the key points for classic car enthusiasts.
More
Budget statement 2012-
see our report
See our report. More
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The Budget
for classic car motoring
This year the Chancellor's Budget had good news
- the cancellation of the next 3p fuel duty rise due in September 2013
and the extension of the Classic Vehicle VED Exemption to 1st January 1974
with effect from 1st April 2014. That's quite something to celebrate in the 40th
Anniversary Year for the MGBGTV8 model.
Fuel duty
The 1.89
pence per litre fuel duty increase that was due to take effect on 1st September
2013 will be cancelled. The HM Treasury document also mentions that in 2015-16
the duty differential between the main rate of fuel duty and the rate for compressed
natural gas will be maintained, and the duty differential for liquefied petroleum
gas will be reduced by the equivalent of 1 penny per litre. HM
Treasury & HMRC
The fuel duty announcement was what UK MG enthusiasts and motorists generally
wanted to hear in the Budget Statement 2013. What has been the effect of freezing
fuel duty over the last two years? More
VED:
Classic Vehicle Exemption
The Government will extend the cut off date from
which classic vehicles are exempt from VED by one year. From 1st April 2014 a
vehicle manufactured before 1st January 1974 will be exempt from paying
VED. (Para 2.148, page 84) HM Treasury
How
can I find the build date for my MGBGTV8?
See our guide note. More
VED rates and bands
From 1st April 2013 VED rates will increase
in line with RPI, apart from VED rates for heavy goods vehicles (HGVs) which will
be frozen in 2013-14. The Government has no plans to make significant reforms
to the structure of VED for cars and vans in this Parliament. So the bands will
remain. (Para: 2.146, page 83)
HM Treasury
In the Budget in March 2012 VED for 2012-13 increased
by inflation (RPI). So for the pre-graduated vehicles over 1549cc the VED rate
rose rise by £5 from £215 (2011-12) to £220 from 1st
April 2012. No further increase was mentioned in the Autumn Statement.
Tax
rate tables
VED: tax disc display waiver
To reduce tax administration
costs, the Government will put off-the-road declarations onto an indefinite basis.
The Government will also extend the grace period to 14 days, following the payment
of tax, on the non-display of the tax disc in a vehicle. HM
Treasury & HMRC
Announcements in previous Budget statements where no additional information
has been seen today
Changes
to transport taxes in the Budget statement in March 2012
A couple of clauses in
the Transport taxes section, on page 70 in the Budget "red book" in
March 2012, were interesting but no further announcement was made in the Budget
Statement. More
VAT - no change
Thankfully there was no increase announced in
March 2012 and no change was announced in the Autumn Statement.
Insurance tax
There was no announcement in the Budget Statement
2013 of any change on insurance tax. In the Budget in March 2012 the standard
rate of 6% (Jan 2011 - April 2012) remained at 6% for 2012-13 - see page B18 of
the HMRC document. Tax
rates & allowances Annex B |