Budget 2009 confirmed the introduction of six new Vehicle Excise Duty bands, bringing the total to 13, proposed in the 2008 Pre-budget statement.
Cars emitting less than 141g/km are the winners – every band below this point is dropping its fee.
Cars with emissions figures higher than 255g/km will be the biggest funders of the change – their tax goes up from £405 to £435 a year.
The move also sees the introduction of a new set of VED bands for a car’s first year. This will see the highest CO2 emitters taking a first-year £950 tax hit.
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