Company Cars

Lord Davies of Oldham Excerpts

Tuesday 10th January 2012 Lords Chamber

[Earl Attlee]

My Lords, if a company car driver has an accident, I suspect that it would affect their no-claims bonus because they would have to declare their accident to the insurance company, but I am not absolutely certain on that point.

[Lord Davies of Oldham]

My Lords, the Minister will be all too well aware—he indicated this in his Answer—that the issue of car emissions is important for the health of our environment. Will he look again, and encourage his colleagues in the Treasury to look again, at whether we are giving sufficient encouragement to companies to provide greener cars for their people than they do at present?

[Earl Attlee]

My Lords, I am confident that with the CO₂ emissions regime we already encourage cars to be as green and economical as possible. However, the noble Lord will also be aware that we are encouraging the use of electric vehicles, which are exempt from fuel duty and have numerous other taxation benefits.