Further changes to the company car taxation regime were unveiled
in the 2009 Budget.

From 6 April 2011, HM Treasury said, the CO2 emissions
thresholds for the main company car tax bands will be shifted down
by 5g/km.

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The £80,000 cap on company car list prices will be done away
with, “to ensure that drivers of the most expensive company cars
pay a fair amount of tax,” the Treasury said.

In addition, “outdated” differences in taxation for
“early-uptake Euro 4 standard diesel cars, higheremitting hybrid
vehicles, gas-powered and biofuel-capable cars” will be scrapped,
to be replaced by a system based solely on tailpipe CO2
emissions.

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