UK Survey reveals that an overwhelming 81% of UK Drivers want a return of the Tax Disc, I DO TOO.

An overwhelming majority of motorists want the DVLA to bring back the tax disc. In a recent poll conducted by Motoring.co.uk, the results revealed that 81% of motorists want to see the tax disc’s return – if these numbers run true across the UK, then a massive 35 million plus people (out of around 45 million eligible drivers) want the tax disc back on their windscreen.

Motorists want the tax disc back because they are falling fowl of the law by simply forgetting to tax their vehicles on time - Motoring.co.uk’s research also found a staggering 13.5 million motorists don’t know when their tax is due.

In September, Motoring.co.uk conducted research and found that 1 million motorists are driving around without a valid vehicle excise duty. Vehicle Excise Duty (VED) is the official name for the annual tax we habitually call Road Tax, a tax that was actually abolished in 1937.'

Removing the tax disc was, as the DVLA stated, ultimately part of a cost cutting exercise to reduce tax administration costs and burdens associated with vehicle tax, however, it seems that the DVLA may have miscalculated and could now be missing out on more revenue than ever before.

The DVLA stands to save around £7 million per annum from no longer producing, issuing and posting the tax disc, however, those figures looked to be skewed as Motoring.co.uk’s research has revealed that the DVLA could in fact be losing out on around £170m of revenue per year - with average VED costing £170 - far more than the saving accrued from the tax disc abolishment.

The DVLA refuted the results of the poll, with a spokesperson stating: “The vast majority of people tax their cars on time, with over 42 and a half million drivers taxing their vehicles since 1 October 2014“.

They continued: “We believe that the digital system is working well and that more than 29 million have chosen to tax their vehicles online or by phone. When vehicles are due to be taxed, we still send reminders, we send V11 reminders to all motorists except those who have chosen to pay by Direct Debit - they would receive a Direct Debit reminder. If motorists are driving without valid tax then they could be fined up to £1,000 and face having their vehicle impounded so it is paramount for them to make sure their vehicle is taxed on time.”

However, the DfT has since admitted that the number of vehicles without road tax - Vehicle Excise Duty (VED) – has doubled to 560,000 in the summer of 2015 according to the Department for Transport's survey

Digital savvy motorists are already taking advantage of the digital dashboard on the MyMotoring hub, which safely stores data but also acts as a guardian alerting the consumer to due dates for their vehicle’s service, MOT and tax.

Terry Hogan, Co-Founder and Director said, “With the lack of a physical tax disc, it seems large numbers of motorists are failing to renew their car tax -driving illegally and liable to fines”.

He continued: “We’ve been helping millions of motorists for the past eight years and understand that the every-day motorist struggles to keep on top of their ownership lifecycle. Our innovative MyMotoring hub allows users to easily log a few car details and sends out timely reminders when their road tax is due".

UK motorists still not sure what to do about the defunct tax disc.

Majority of motorists still hanging onto their paper VED tax disc a month after the law was changed.

More than half of motorists (61%) have not bothered to remove their paper tax disc from their windscreen a month after the law requiring them to be displayed was scrapped, new research has found.

Since 1st October, motorists have no longer been required to display proof of VED payment by displaying a paper disc in the corner of their windscreen.

Instead, police can now use a car’s registration plate to check the DVLA database, to make sure the vehicle’s owner has paid up.

In a new survey commissioned by the UK’s leading website for car leasing deals, ContractHireAndLeasing.com*, it was discovered that a third of motorists aren’t really bothered about removing their tax discs. 

This third (34%) said they were perfectly aware that they were no longer required to display a paper VED disc but they weren’t particularly bothered about removing them.

Another 17% said they plan to remove theirs soon but just haven’t got round to it yet and 10% said they weren’t aware they no longer needed displaying.

The survey conducted by Populus, using a sample of 2,004 GB adults – also found that men were less bothered about removing their old paper disc than women, with 38% of men compared to 30% of women expressing an indifference to the change of law.

The survey found that younger generations were more eager to ditch the paper accessory than the older generations, with the 25-34 age group, the most likely to have already removed the tax disc at 21%, compared to just 11% of the 55-64 and 65+ age groups respectively.

ContractHireAndLeasing.com spokesperson, John Simpson commented: “I was among those who removed their tax disc right away; it felt like the end of an era and a chance to get rid of an unnecessary mess in the corner of my windscreen.

“For fleet managers, ensuring every vehicle displays a valid tax disc is a hassle they could do without so the decision get rid of them will doubtlessly be appreciated by them.

“However, our survey’s findings suggest that to the majority of motorists, scrapping the physical tax disc – a 93 year tradition – is no big deal,” he adds.

The humble tax disc was first introduced in 1921 and has been a clear symbol of a law-abiding, duty-paying motorist ever since.

Now that the paper tax disc has been scrapped, ContractHireAndLeasing.com has suggested some alternative uses for your newly redundant disc holder. Here are a handful of ideas:

1. Store contact/medical details in it in case of an accident

2. Keep some breath mints/chewing gum handy

3. Use it as a pen and notebook holder

4. Park in a high footfall area and sell it as advertising space to innovative businesses

5. Keep a picture of your loved ones where everyone can see.

There are many more on our blog at http://www.contracthireandleasing.com/car-leasing-news/nine-things-you-can-do-with-your-now-redundant-tax-disc-holder/

HPI calls for car dealers to be ready for DVLA changes

As of 1 October 2014, the Driving Vehicle and Licensing Agency (DVLA) will make the widely publicised move from paper tax discs to online. Vehicle information provider, HPI, is warning dealers to ensure they don’t get caught out with fines for a car they no longer have on their forecourts.

After the paper tax disc is abolished, dealers will no longer be able to purchase vehicles with a tax disc in force; tax discs will not be transferable when a vehicle is sold. Dealers can either use trade plates, provided that the vehicle is used within the conditions for use of trade plates, or obtain new vehicle tax, if the vehicle needs to be registered in a dealership’s name.

Dealers and vehicle testers still need to apply and pay for a new trade licence once it needs renewing, but there will no longer be a paper trade licence to display with the trade plate. The new rules no longer require a trade licence holder to display a trade licence, however the rules for trade plates will not change in October.

The new rules also put the onus on used car sellers to inform the DVLA, when they sell their vehicle.  Importantly, under the new rules, used car sellers, including motor dealers are responsible for notifying the DVLA and then they will receive a refund for any months left on the vehicle tax. Dealers who fail to inform the DVLA, could be fined and they will still be liable for vehicle tax on a car they don’t even own anymore.

Car owners still need to have vehicle tax to drive or keep a vehicle on the road, but now the DVLA is taking payments online, including Direct Debit payment options or motorists can visit their local Post Office branch. Instead of using paper tax discs to spot tax evaders, police cameras will automatically check a car’s number plate.

Phil Peace, Commercial Operations Director for HPI comments, “We remind motor traders to always send the V5C to the DVLA, rather than relying on the buyer to do it. And always apply for a Certificate of Destruction (CoD) from an authorised treatment facility (ATF) for vehicles that are scrapped. We’re hoping that the new DVLA initiatives will make it harder for drivers to head out on the road untaxed. It’s easy to check if a vehicle is taxed by heading online at the Vehicle Enquiry Service, making this the first step for dealers and consumers alike who want to avoid the risk of fines.”