According to Cartell.ie, the online car checking company, the first 48 hours of trading under the new VRT and Taxation system has indicated a shift of consumer attitude to purchase lower CO2 producing cars.

The average CO2 emissions for the top ten selling cars registered in the first 2 days of the new VRT and Taxation system was 141 g/Km with 7 out of 10 vehicles being Diesel. This indicates that pre-orders for July were placed with the environmental and cost benefits in mind.

It also seems however that some people decided to register less CO2 efficient vehicles before the new system impacted. On the 27th and 30th of June 2008 (the last 2 working days prior to the changeover) the CO2 emissions for the top 10 vehicles registered were 180 g/Km, with 7 out of the top 10 cars being Petrol.

The motor industry was hoping that the new VRT and Taxation rules which came into effect from the 1st July 2008 would have the same impact as the first 2 days of trading in January 2008. This would indicate that people had waited to buy their new fuel and CO2 efficient cars. Indeed for the last two years on the 2nd and 3rd of January, 9 out of the 10 top selling cars were powered by petrol with average CO2 emissions of 155 g/Km.

However, initial registration figures for the 1st and 2nd of July 2008 (6181) are less than half those of the 1st and 2nd January 2008 (13350). On the bright side, the number of vehicles registered so far in July 08 is nearly twice that of July 07.

Jeff Aherne from Cartell.ie states “there are significant savings to be had by buying less CO2 producing vehicles. For example, the VRT rate on the Skoda Octavia 1.9TDI has dropped from 25% to 15% while the annual road tax has fallen by € 440 per year due to its 130g/Km”

The total number of vehicles registered in the first two full days of trading under the new system was 6,181 with 1,375 (or 22%) of these being used imports. Aherne concluded, “This will make grim reading for the Irish Motor Industry”.

-ENDS-