Car insurance: Drivers 'need incentives to go green'

Thursday, 15 January 2009

Cash-strapped motorists who are struggling to cover the cost of road tax, fuel, car insurance and maintenance could be convinced to go green with financial incentives, it has been suggested.

According to Clean Green Cars, it would be a good idea for the government to "widen the tax differentials for lower-polluting cars".

It stated "a scrappage incentive could also help" and suggested people should be given £1,000 for trading in a old car with poor green credentials for one which emits less than 120 g/km of CO2.

Jay Nagley, the publisher of Clean Green Cars, said some models which are currently considered to be eco-friendly are not actually helping the planet that much.

He commented: "Hybrid cars are not yet practical - a current Toyota Prius is no better for the environment than a Ford Focus 1.6 diesel."

Mr Nagley claimed a new generation of vehicles with lithium-ion batteries could prove successful but pointed out the government would need to subsidise them.

In October last year, the Department for Transport announced a £100 million package to help boost the green vehicle industry.

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