Rachel Reeves has hammered drivers again, and state pensioners are getting no respite from the rising fees. Fuel costs have soared for all drivers across February and March, with petrol up 24p per litre and diesel up 46p per litre.
Switch to electric, you may say? Pensioners don’t work and are unlikely to take advantage of electric car leasing schemes. If that wasn’t hard enough, new Vehicle Excise Duty (VED) tax updates soon followed on April 1 as Reeves struck again. Petrol, diesel and electric car owners are all paying more to use the road, with bills up across the board.
Historic vehicles are completely exempt from new VED charges, with cars registered over 40 years ago no longer liable for fees. However, there is no age-based cut-off for drivers. This means motorists all pay the same to use the road, regardless of how many miles they travel. Is this right?
Data shows that the average annual mileage of drivers above the age of 70 is 1,665 miles, a whopping 28% lower than the average for all other age groups. It means state pensioners barely leaving their houses are still liable for hundreds of pounds in VED tax just to get behind the wheel.
Fees can be extortionate, with April’s latest tax band hike slapping owners of brand new cars with fees as high as £5,690. Those with highly polluting models registered between 2001 and 2017 are liable for up to £790. The higher costs could come at a difficult time for pensioners, with previous Age UK data suggesting as many as 4 million pensioners are feeling less financially secure.
Studies have previously shown that losing a licence in older age can backfire, with significant consequences for mental health and social participation. If costs continue to rise, will pensioners be forced off the road before they need to for health reasons? Quite possibly.
Pay-per-mile fees will massively slap hard-working motorists and commuters, the backbone of Britain, with hefty rates just to get to work. No, the answer may just be staring everyone in the face, introducing a minimum mileage for state pensioners to travel at a discounted rate.
Set at 1,000 miles or 1,500 miles will allow pensioners to enjoy some of their newfound retirement freedom without breaking the bank. Is that too much to ask?
