Diesel Vehicles and Pollution

The current Vehicle Excise Duty (VED) system was introduced in 2001 under the Labour administration and this incentivised the purchase of cars with low CO2 emissions, regardless of whether they are petrol or diesel. Ministers now want to ensure that the VED system keeps pace with technological change in the market, and continues to incentivise the purchase of the cleanest cars.
 
So in the Summer Budget 2015, the then-Chancellor announced that new VED bands will be introduced, for new cars only, from 2017. First year rates of VED will still vary according to the CO2 emissions of a vehicle, but then a flat standard rate will apply to all cars, except for zero emissions cars which will pay nothing.
 
With respect to diesel engines, progressively tighter new vehicle emission standards have reduced harmful particulate matter pollution emissions from diesel vehicles. The latest emission standard for lorries and buses, Euro VI, will substantially reduce emissions of oxides of nitrogen (NOx), and government experts are working to ensure the same for diesel cars and vans.
 
The UK has been leading the push for real world emissions tests which will address this problem. Real Driving Emissions (RDE) tests will be introduced in 2017 to reduce harmful emissions, improve air quality and give consumers' confidence in the performance of their cars. It will ensure tests accurately reflect performance out on the road and will be part of the process to approve vehicles for sale from 2017.
 
More widely, improving the UK's air quality and cutting NOx emissions is a priority for the Government. Between 2011 and 2020 the Department for Transport has committed over two billion pounds on a wide range of measures to help improve air quality further, including encouraging the uptake of electric cars and other ultra-low emission vehicles, and schemes to promote greener public transport, cycling and walking.  As such, there are no current plans for any prohibition on diesel vehicles, but I know that Ministers will be keeping all measures under review.