Welsh Motoring Writers were represented at the Welsh Automotive Forum (WAF) annual networking dinner by vice-chair Huw Thomas.

The event takes place at the end of each year and brings together hundreds of WAF members involved in the automotive supply chain in Wales.

Keynote speaker at the event was Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders (SMMT), seen pictured with Huw (far left), WAF chief executive Rob O'Neil (right) and WAF chair Lawrence Davies (far right).

Announced as inflation reached its highest level since 1977, the Chancellor’s Autumn Statement set out £55bn in tax and spending reforms through to 2028 to shore up Government finances.
 
The changes include some important details for motorists, and they don’t only affect new cars. We’ve had a look at the main points below.
 
Zero-rate vehicle excise duty scrapped
Often known as "road tax", vehicle excise duty (VED) will be reformed in April 2025 and will apply to all electric cars, vans and motorcycles for the first time - and that’s just the tip of the iceberg.
 
Since 2017, cars have been charged a CO2-weighted First Year Rate when they are registered (included in the ‘on the road’ price) and a Standard Rate every year afterwards, which is currently £165. Hybrids get discounted rates, cars costing over £40,000 are liable for an Expensive Car Supplement (currently £335) for the first five years after registration, and electric vehicles are exempt from all charges.
 
From 1 April 2025, hybrid and electric cars will be liable for the same Standard Rate as their petrol and diesel counterparts. New electric cars will also be liable for the lowest First Year Rate (currently £10) and the Expensive Car Supplement if they cost more than £40,000. This will leave a lot of drivers paying at least £500 per year.
 
Those changes are also being backdated. The Standard Rate will apply to all electric and hybrid cars registered since April 2017, and VED exemptions for older low-CO2 vehicles are being axed too. Cars which emit less than 100g/km CO2 and were registered between 1 March 2001 and 31 March 2017 will move onto the lowest rate of VED (currently £20 per year) – and this includes electric vehicles.
 
Steady increases in company car tax
After months of fleet industry lobbying, the Autumn Statement confirmed long-overdue company car tax bands beyond April 2025. Company cars typically have a three-year lifecycle, so drivers ordering or taking delivery since April have taken a gamble on tax costs for the last months of their contract.
 
Company car tax is underpinned by a “taxable value” for the vehicle – this is a percentage of the list price that gets bigger for vehicles with higher CO2 emissions. Drivers’ Benefit-in-Kind is a percentage of the taxable value based on their income tax band (typically 20% or 40%), and it also dictates employers’ Class 1A National Insurance Contributions, at a flat 13.8%.
 
The Chancellor said he had “listened to industry bodies” when making decisions. Bands will rise by 1%-point in 2025/26 (capped at 37% for the least efficient models) then frozen until 2027/28. Vehicles emitting less than 75g/km CO2 – plug-in hybrid and electric cars – will then get a further 1%-point rise in the following two financial years.
 
For electric vehicles, company car tax will rise from 2% in 2025/26 to 5% in 2027/28. That’s still significantly lower than the 25% rate for the most efficient petrol, diesel or so-called “self-charging” hybrids. It’s a powerful incentive – 35% of company-leased vehicles delivered in the second quarter of this year were electric, according to industry association the BVRLA.
 
Rising charging costs for electric cars
Demand for energy in Europe has outpaced supply for over a year. It’s caused a once-in-a-generation surge in wholesale prices, exacerbated by embargoes on Russian gas following its invasion of Ukraine. With 40% of the UK’s electricity coming from gas power stations, the cost of charging an electric car has increased significantly as a result.
 
UK households paid an average 18.9p per kilowatt-hour (kWh) of electricity in 2021 according to Government data. Even with the two-year Energy Price Guarantee announced by former Prime Minister Liz Truss, prices reached 34p per kWh in October 2022. For households that aren’t on fixed-rate contracts or tariffs with cheaper overnight rates, charging at home has almost doubled in price this year.
 
Prices will increase again in April 2023. The Autumn Statement didn’t detail unit costs, but confirmed support will be wound back with average household bills set to rise from £2,500 to £3,000. It’s worth noting that the Energy Price Guarantee caps unit rates and standing charges not the bill itself – many homeowners will pay significantly more that.
 
Limited details of future fuel duty
Contrary to widespread media speculation, the Autumn Statement did not confirm any changes to fuel duty next year. This is a flat charge of 52.95p per litre of fuel, and is separate to VAT. Frozen since 2011, it was cut by 5p per litre for 12 months in March this year to slow the rise in fuel costs resulting from embargoes on Russian oil.
 
Decisions about future fuel duty changes will be announced in the Spring Budget next March. Although a forecast from the Office for Budget Responsibility (OBR) has suggested a 23% rise is “planned” afterwards, adding 12p to the cost of a litre of fuel, there are no proposals in place as yet.
 
Reports suggesting otherwise are misinterpreting of the OBR forecast. With no indication of what will be included in the Spring Budget, the forecast makes assumptions based on the current Government policy and acknowledges that this could change in the meantime. Fuel duty would normally rise in line with inflation, but this hasn’t happened in over a decade, and HM Treasury has yet to confirm whether the 5p cut will be extended.
 
Rising fuel costs are a significant driver of inflation, which the Chancellor is aiming to cut. It’s highly unlikely that duty will be raised by 23% next March – but it’s too early to say.  

An outstanding Welsh motorcycle racer and a successful car dealer group have been presented with Welsh Motoring Writers’ top awards.

Chaz Davies, a native of Presteigne, called time on his competitive career in World Superbikes at the end of 2021 after achieving many accolades since beginning at the age of eight in 1995.

Many of his most impressive performances came when he was riding a non-factory motorcycles, although he dominated the Supersport World Championship in 2011, winning half the seasons races.
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Citroën UK managing director Eurig Druce and specialist race and rally car Darrian Cars have been presented with Welsh Motoring Writers’ top accolades, the Terry Davies Automotive Award and the Tom Pryce Memorial Trophy.

The presentation took place in a Covid-secure small gathering at Drivers Citroën of Prestatyn in a delayed presentation of the 2020 awards.

Eurig, who hails from Llanberis, Gwynedd, announced the Citroën Advance UK programme in October 2020, having been managing director since February 2020.
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A journalism graduate has won a £1,000 prize, a driving experience at Silverstone, and work experience at some of the UK’s top automotive publications.

Niall Evans was one of four students taking the automotive journalism module at Cardiff University, with work entered for the annual prize offered by Welsh Motoring Writers (WMW). But the prize presentation differed this year from previous years, as it was held remotely via Zoom.

WMW chair, Simon Harris, joined three of the students in the virtual presentation, along with, Tim Holmes, associate director PGT at Cardiff University, School of Journalism, Media and Culture.
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Ineos Automotive has revealed the exterior design of the new Grenadier 4x4, due to be launched in 2021.

The project, which will see car and commercial vehicle versions of the Grenadier assembled in Wales, uses a new platform and sought to create an authentic 4x4 workhorse.

Visually similar to the original Land Rover Defender, which ceased production in 2016, the Grenadier will be built at a new factory in Bridgend, and will use a six-cylinder diesel engine shaed with BMW, as well as a ZF automatic transmission.

A former open-cast mine in the Dulais Valley, which has become a world famous location for motorsport and off-road vehicle development, Walters Arena plays a significant role in bringing in visitors to the local area, and supporting the economy.

The site began life as an opencast mine after the second world war, and after the coal reserves were extracted, it was backfilled, topsoiled and landscaped with conifers and grass.

It evolved into an international motorsports complex hosting the Welsh round of the World Rally Championship, and became established as a testing venue for WRC teams. It has also been used by vehicle manufacturers to develop cars with off-road ability.

Walters Arena now hosts a number of national and international motorsport events, and has also featured on television in Top Gear, Fifth Gear and Wheeler Dealers.

A journalism graduate has won a £1,000 prize a driving experience at Silverstone, and work experience at some of the UK’s top automotive publications.
 
Joe Pugh, of Abergavenny, was one of six MA students who opted to take the automotive module at Cardiff University’s School of Journalism. All six were eligible to compete for Welsh Motoring Writers’ John Arfon Edwards Memorial Prize in 2019.
 
Assignments submitted looked at issues around electric vehicles and autonomous technology, and Joe produced a three-minute video on the potential of electric cars in club racing, including interviews with race organisers and drivers.