Drivers have been warned over driving changes and rules coming in 2023 that could cost them a hefty fine if ignored.
The changes include fuel duty adjustments, ULEZ expansions and electric car taxation and will affect thousands of British drivers.
1. Number plates
New car number plates change twice every year. For newly manufactured cars, registration plates change on the first day of March and September. From March 2023, you’ll be able to register a new car under the ‘23’ reg plate. While in September, new cars will be registered under the ‘73’ plate.
2. Benefit in Kind
Benefit in Kind (BIK) payments are also known as company car tax when it comes to motoring. It’s what you pay if you have the perk of running a company car on top of your annual salary. Your BIK payment is determined by a car’s CO2 emissions, and today, a petrol car emitting 100g/km emissions attracts 25% BIK That compares with 13% in 2013, so it has been steadily rising. The Government said rates won’t change until April 2025 to encourage employees to choose electric cars.
3. Scrappage scheme
London Mayor Sadiq Khan announced £110 million of funding to help vulnerable drivers caught by the 2023 ULEZ expansion. The scheme will start from January 30, 2023 and be open to Londoners who receive benefits, or small businesses and charities registered in London.
4. Electric car VED
Electric car owners will continue to pay nothing in VED for the next two years until April 2025. Diesel and petrol car owners will continue to pay the minimum flat rate of £165.
5. Fuel duty rates
Fuel duty rates were reduced by 5p in March 2022 to help ease the increasing price of fuel and cost of living.However, that finishes on March 23, 2023 as rates return to normal. In fact, the Office for Budget Responsibility (OBR) has predicted that the fuel duty may even increase. We won’t find out what happens until the Chancellor’s Spring Budget in March 2023.
6. ULEZ expansion
The Ultra Low Emission Zone (ULEZ) is a zone in London that costs you money if your car is deemed too polluting. From August 29, 2023, the ULEZ will expand for the third time and hit more drivers than ever. It currently covers most bits of Central London but will soon expand to cover all of Greater London – essentially anything inside the M25. If your car isn’t new enough, you’ll face a £12.50 charge each time you pass through ULEZ.
7. Scottish parking bans
Back in 2019 it was announced that parking on pavements and dropped kerbs in Scotland would be banned. However, the pandemic delayed the ban from being enforced and it was announced the ban wouldn’t come in until at least 2023. Since, there have been suggestions the ban would come in by December 2023, but Scots will have to wait to find out the exact start date.
8. HGV levy
Heavy goods vehicles (HGVs) weighing more than 12 tonnes are charged a levy for road wear and tear. The payment was stopped during the pandemic and in August 2022 it was extended for a further year. However, in August 2023 the levy will be back meaning more costs for British hauliers.
