£50k pollution tax on large SUVs in France
March 5, 2024
Why have SUV sales in the UK have soared by 23% to over one million a year?
One reason might be our country's low tax rates on large, polluting cars. A report by Transport & Environment (T&E) describes the UK as a 'tax haven' for bigger, less environmentally friendly vehicles.
When you compare the tax paid by UK buyers with comparative levies in neighbouring countries, you can see what they mean. If you buy a BMW X5 (196gm/CO2 km) SUV in France, you'll be lumped with an acquisition tax bill of £51,415 - 32 times more than the equivalent UK charge.
The same car bought in the Netherlands would be taxed the equivalent of £28,000 while in the UK the charge is only £1,565.
If UK buying trends continue as they are, then SUV registrations in 2027 will account for 75% of new registrations. However, might the tide be about to turn?
Will the move to electric kill off the SUV?
In an interview with Auto Express last year, Citroen CEO Vincent Cobée explained candidly that despite sales of SUVs accounting for 50 per cent of all new car registrations in Europe over the last few years, their image is suffering: “If you live in a big city, five years ago if you drop off your kids with a big SUV you’re a man. Now, if you do this, you’re a ‘terrorist’…”
Image aside, it's the reduction in range caused by boxy styling and the additional weight of batteries that will see sales of the SUV dwindle according to the Citroen boss: “On a battery EV, if your aerodynamics are wrong, the penalty in terms of range is massive. You can lose 50 kilometres between good and bad aero, and between an SUV and a sedan you’re talking 60/70/80 kilometres very easily.”
Meanwhile, Paris has voted to increase the cost of on-street parking for SUV or 4×4 cars to €18 per hour.
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