Car tax changes: Petrol, diesel and electric owners affected by one percent tax rise today – Express

For those who pay 20 percent income tax, the new one percent charge would only see drivers charged an extra £59.58 per year.

However, those who pay 45 percent income tax will be paying up to £134.06 per year under the new scheme.

Ms Howarth added drivers had been making savings of over £10,000 by using salary sacrifice schemes.

She said demand for the schemes had “skyrocketed” last year as businesses looked for extra incentives for staff.


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