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A taxing drive to John O’Broke

7th February 2006 Print
The Government collects around 27 per cent of the cost of everyday motoring through a variety of taxes, according to latest research from car maintenance firm, motoreasy.com.

That means of the £387 it would cost the average British motorist to complete the epic 840-mile journey from Lands End to John O’Groats, a staggering £104.49 would go directly to the Treasury.

A combination of taxes applied to the likes of car insurance, servicing, breakdown cover, road fund licence, VAT as part of the cost of depreciation and, of course, the heavy tax on fuel – currently standing at an average of 72 per cent - means the inland revenue receive close to 27 per cent of all motorists’ running costs.

Even driving the most economical car surveyed by motoreasy, the Toyota Yaris, would still cost owners £67.77 in taxes – but this figure pales in comparison to drivers of the Land Rover Freelander, which would claim a gluttonous £152.58 in taxes from a total cost of £565.96 for the entire journey.

Perhaps unsurprisingly, fuel amounts to twenty percent of the average motorist’s total yearly costs, and also provides the Government with the most revenue. But while a petrol hungry Vauxhall Vectra driver can expect to pay as much as £997.30 on fuel per year, those on a budget should drive the Renault Clio which, at a fantastic 68 miles per gallon, can stretch every penny almost twice as far.

While fuel tends to be the yardstick by which motorists notice their costs, this is completely overshadowed by the effect of depreciation. Traditionally a cost that most tend to write off as part of the benefit of owning a new car, perhaps some would reconsider upon learning over half the total cost of owning a car for 3 years is due to depreciation – on average £7,913.08 – and 17.5 per cent of the money lost had already been taxed!

Motoreasy spokesman, David Gerrans, said: "Motoring really does cost a lot more than people realise. The average British motorist forks out almost £90 per week to keep their car on the road, £24.30 of which is tax. But with the continual rise in the price of public transport, what feasible alternative do they have?"