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Cars cost more in UK
The chancellor has brought in a new scheme that A2 economic student thought of years ago, the idea being to charge people for the more polluting cars to cover the negative externalities, well done for catching on. The idea is basically if your car bursts out CO2 like there’s no tomorrow you’ll be paying for it. From April next year, the drivers of the most polluting cars will pay vehicle excise duty of £440. If your cars classed as one of the second-most polluting cars, you’ll pay £750 in the first year and £430 per year thereafter. If that wasn’t enough! Then from April 2010, anyone buying new models that are the most polluting will pay vehicle excise duty of £950 for the first year. This plus the fact that the price per barrel of oil gone up to $111 and oil prices will be risen by 2p in 6 months says we might all be buying new cars only to have it sitting on our drive because the costs of running it are too high.
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