Martin Lewis gives money-saving advice on VED car tax
Car tax updates introduced by Newham Council has seen an emissions-based charge introduced to all parking permit applications. The new charges will apply for all applications and renewals for residents, business and industrial permits from January 2021.
The scheme came into effect from Wednesday with thousands of drivers expected to be caught out by the changes.
The new charges will be based on CO2 categories used by HMRC for taxation with higher polluting vehicles most affected.
In recognition of the financial impacts of coronavirus and concerns from residents, a one-off 20 percent discount will be applied to the cost of the first permit.
It means drivers with the most polluting cars emitting over 226 g/km of CO2 will pay a 160 emissions charge on top of a parking application.
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However, the Council has confirmed these costs will rise to £200 from next year when the 20 percent discount comes to an end.
Vehicles emitting between 171 and 225 g/km of CO2 will pay £120 this year with costs rising to £150 from year two.
Costs decrease in small increments with the least polluting models emitting between 0 and 50 g/km of CO2 facing no charge at all.
They said: “Newham residents are exposed to high levels of toxic pollution from vehicles, contributing to the highest death rate in England, according to Public Health England, with 96 people dying each year due to the poor quality of the air that they breathe.
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“The health impact of our polluted air on residents, including children, is the same as smoking 159 cigarettes a year.
“The new parking permit charges are aimed at addressing our poor air quality and lowering vehicle emissions by encouraging residents to switch towards less polluting vehicles and to encourage more local trips to be made by sustainable modes of transport, like walking and cycling.
“We’re also making available new electric vehicle charging points across the borough making it easier for those who choose to make the switch to electric vehicles to have greater access to public charging points.”
Families who own more than one car are set to be massively affected by the scheme with additional vehicle supplements also applying.
The Council warns drivers with two cars will only receive a Covid discount from the first vehicle with the second charged at full price.
An additional vehicle supplement of £100 will also be issued to houses applying for two parking permits,
Those with three cars will pay the £100 vehicle supplement for the second car and an extra £200 supplement for the third vehicle.
In a statement online, Newham Council said the scheme was being introduced to encourage road users towards less polluting vehicles.
However, 32 Newham councillors have signed an open letter calling on Mayor Rokhsana Fiaz to reconsider the scheme.
Councillors have wanted their inboxes have been “overwhelmed” by residents’ concerns over the new scheme.
They claim a large majority of residents do not support the extra parking tax regardless of its intention.
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