Latest news with #VED
Yahoo
7 hours ago
- Business
- Yahoo
ONS admits inflation blunder
Britain's beleaguered statistics agency has admitted that it overstated April's inflation figures after uncovering errors in its data. On Thursday, the Office for National Statistics (ONS) confirmed annual inflation hit 3.4pc last month, compared to its previous calculation of 3.5pc. Official blamed the blunder on faulty car tax data provided by the Government, as Whitehall provided the relevant numbers on Vehicle Excise Duty (VED). However, the mishap will no doubt pile pressure on the ONS, which has been repeatedly criticised over the past year for publishing flawed data about the UK jobs market. As well as lowing the headline rate of inflation, Thursday's correction will also take 0.1 percentage points off the retail price index, reducing that measure to 4.4pc. This embedded content is not available in your region. This will be of significance for Rachel Reeves, the Chancellor, as a significant chunk of the Government's debt is linked to the measure. Some economists will also breathe a sigh of relief after last month's price rises were higher than they expected. It comes at a critical time for the economy as the Bank seeks to work out how far and how fast to cut interest rates. Threadneedle Street's policymakers, led by Governor Andrew Bailey, try to set borrowing costs to keep inflation at or around 2pc, with their decisions are guided by data from the ONS on price rises and unemployment. However, Mr Bailey told MPs this week that the Bank of England is now now using a much broader range of data after recent shortcomings at the ONS, which has struggled with a poor response rate post-Covid. 'It is a work in progress,' said Mr Bailey. 'I don't want to take away from the fact that the ONS is working very hard at this. 'There is a very severe health warning on every release they make. Until they introduce what they call the new transformed labour force survey (LFS), which will not be until next year, we should still regard the LFS with a great deal of caution and a big health warning.' The latest admission from the ONS startled analysts and moved financial markets, with potential repercussions for household and business finances. Bruna Skarica, at Wall Street bank Morgan Stanley, noted the jump was far larger than anything she had thought possible. It also fed straight into forecasts for the Bank of England's interest rate cuts. 'Today's data raises doubts on expectations for two further cuts this year,' said Gabriella Dickens, economist at AXA Investment Managers. Critically for borrowers, those forecasts have already led to trades trimming their bets for a summer rate cut, meaning borrowing costs are likely to remain higher for longer. The ONS was approached for comment. Sign in to access your portfolio
CNBC
10 hours ago
- Automotive
- CNBC
UK April inflation overstated because of car tax error, UK statistics agency says
A car tax data calculation error caused the U.K.'s inflation rate to be overstated by 0.1 percentage points for the year to April, the Office for National Statistics (ONS) said on Thursday. The ONS had initially said last month that the U.K.'s annual rate hit 3.5% in April, coming in above analyst expectations. On Thursday, the statistics body released revised data, showing the country's consumer price index rose instead by a lower 3.4% in the 12 months to April. The revised April figure still exceeds the 3.3% levels previously expected by Reuters analysts. The ONS released a statement noting that an error had been identified in the Vehicle Excise Duty (VED) data provided to the statistics body by the U.K.'s Department for Transport, which is one metric used to calculate consumer prices inflation. "The incorrect data overstates the number of vehicles subject to Vehicle Excise Duty (VED) rates applicable in the first year of registration," it said. This had the effect of overstating the headline CPI and Retail Prices Index (RPI) annual rates by 0.1 percentage points for the year to April 2025 only. No other periods are affected, the ONS said. "In line with our consumer prices revisions policy, these statistics will not be amended. However, we are reviewing our quality assurance processes for external data sources in light of this issue." The mistake is an unwelcome smear on the already stained record of the ONS, which has been criticized in some quarters for the accuracy and reliability of its data. The statistics agency apologized for the error and said it would be using the correctly weighted data from May 2025's figures onward, "meaning no further statistics will be affected." CNBC has requested further comment from the ONS and is awaiting a response.
North Wales Live
2 days ago
- Business
- North Wales Live
How to check using a number plate checker if the £150 DVLA car tax increase affects you
Motorists can use a number plate checker tool to see if they will be affected by the DVLA's £150 car tax increase. The AA is warning drivers that the change could have a significant impact on many people's finances. For many drivers, especially those with older fuel-efficient cars, the change in VED could lead to a steep rise in their car tax bill. Experts warn that vehicles registered between 2001 and 2017, which are still taxed under the older CO2-based system, are most at risk for the increase. According to roadside assistance expert Jack Cousens, the changes to Vehicle Excise Duty (VED) could be a "major financial shock" for millions of car owners whose vehicles are still paying VED under the old system. For our free daily briefing on the biggest issues facing the nation, sign up to the Wales Matters newsletter here He said: "VED changes and future increases threaten a major financial shock to the finances of millions of car owners whose vehicles are still paying VED under the 2001-2017 CO2-banded system." Cousens highlighted the impact on drivers with older, eco-friendly models, saying: "For those with ageing low-CO2 small family and city cars, the transition to the current standard VED rate could see a hike of £150 or more a year on their motoring tax. "With the average car currently paying £436.84 in fuel duty a year – or £524.21 when VAT is added at the pump – a £150 increase in the VED they will pay represents a 34% hike on top of what they are already paying in fuel duty." Drivers can use WeBuyAnyCar's free online service to quickly find out details about their vehicle, including its engine size, power output, and CO2 emissions. The car valuation provider details: "What's more, if you run the vehicle's plate number through our reg plate checker, we can provide you with the following information in an instant: Year and registration date, Make, model, colour, fuel and transmission type, Engine size (cc), power (kw) and CO2 (g/km), Whether the vehicle is imported," reports the Liverpool Echo. It will also offer insights into "the number of previous keepers – and the date ownership was transferred to the current keeper," plus "tax status, tax due date and MOT history." Typically, your car's registration number can be found on the number plates at the front and back of the vehicle. It can also be located in the vehicle's V5C logbook. The advice for potential buyers of used cars is to note down the registration number and use a licence plate check tool. It said: "If you are thinking about buying a used car, we would recommend making a note of the registration number and running it through our licence plate check tool. This will help to ensure everything meets with your expectations."
Wales Online
2 days ago
- Business
- Wales Online
How to check using a number plate checker if the £150 DVLA car tax increase affects you
How to check using a number plate checker if the £150 DVLA car tax increase affects you The DVLA car tax is set to increase for some drivers but many are unaware that they will be affected This tool will help drivers determine if the rise affects them Motorists can use a number plate checker tool to see if they will be affected by the DVLA's £150 car tax increase. The AA is warning drivers that the change could have a significant impact on many people's finances. For many drivers, especially those with older fuel-efficient cars, the change in VED could lead to a steep rise in their car tax bill. Experts warn that vehicles registered between 2001 and 2017, which are still taxed under the older CO2-based system, are most at risk for the increase. According to roadside assistance expert Jack Cousens, the changes to Vehicle Excise Duty (VED) could be a "major financial shock" for millions of car owners whose vehicles are still paying VED under the old system. For our free daily briefing on the biggest issues facing the nation, sign up to the Wales Matters newsletter here He said: "VED changes and future increases threaten a major financial shock to the finances of millions of car owners whose vehicles are still paying VED under the 2001-2017 CO2-banded system." Cousens highlighted the impact on drivers with older, eco-friendly models, saying: "For those with ageing low-CO2 small family and city cars, the transition to the current standard VED rate could see a hike of £150 or more a year on their motoring tax. "With the average car currently paying £436.84 in fuel duty a year – or £524.21 when VAT is added at the pump – a £150 increase in the VED they will pay represents a 34% hike on top of what they are already paying in fuel duty." Drivers can use WeBuyAnyCar's free online service to quickly find out details about their vehicle, including its engine size, power output, and CO2 emissions. The car valuation provider details: "What's more, if you run the vehicle's plate number through our reg plate checker, we can provide you with the following information in an instant: Year and registration date, Make, model, colour, fuel and transmission type, Engine size (cc), power (kw) and CO2 (g/km), Whether the vehicle is imported," reports the Liverpool Echo. It will also offer insights into "the number of previous keepers – and the date ownership was transferred to the current keeper," plus "tax status, tax due date and MOT history." Typically, your car's registration number can be found on the number plates at the front and back of the vehicle. It can also be located in the vehicle's V5C logbook. The advice for potential buyers of used cars is to note down the registration number and use a licence plate check tool. Article continues below It said: "If you are thinking about buying a used car, we would recommend making a note of the registration number and running it through our licence plate check tool. This will help to ensure everything meets with your expectations."
Daily Record
6 days ago
- Automotive
- Daily Record
Motorists urged 'check number plate' to see if they owe DVLA £150 tax hike
With new car tax rates in force, drivers can use a useful online tool to see what they owe instantly With Vehicle Excise Duty (VED) having increased for many drivers since April 1 and warnings that it increase in car tax could cause a 'major financial shock' for motorists, it is important to know what you owe. Vehicle tax changes mean that those with an ageing, low CO2 emission vehicle are facing a rise of £150 a year in the charge. The AA has warned that the new rates could be a shock to road users. Jack Cousens said millions of motorists will have to pay more in VED. And he said this, coupled with annual fuel duty, means drivers, from across the spectrum of vehicles, are being hit hard in the pocket. He said: "VED changes and future increases threaten a major financial shock to the finances of millions of car owners whose vehicles are still paying VED under the 2001-2017 CO2 -banded system. "For those with ageing low-CO2 small family and city cars, the transition to the current standard VED rate could see a hike of £150 or more a year on their motoring tax." He added: "With the average car currently paying £436.84 in fuel duty a year – or £524.21 when VAT is added at the pump – a £150 increase in the VED they will pay represents a 34% hike on top of what they are paying in fuel duty." Drivers who have no idea how much they need to pay can find out quickly by using WeBuyAnyCar's free online number plate checker. The handy online tool allows you to enter your vehicle registration and it will calculate their vehicle's engine size (cc), power (kw) and CO2 (g/km). This means they can then calculate their VED over the next year. And the number plate checker also details your tax status, your due date and MOT history meaning owners can ensure it is all in order and avoid any penalties. The DVLA will issue an £80 fine for those who fail to renew their vehicle tax. And not having your car taxed can also result in your insurance being voided, so it's crucial to know what and when you owe it. VED can be paid in one instalment for the year or it can be split into monthly payments with a direct debit. The number plate checker is also a useful tool if you are looking at buying a used car. WeBuyAnyCar says: "What's more, if you run the vehicle's plate number through our reg plate checker, we can provide you with the following information in an instant: Year and registration date, make, model, colour, fuel and transmission type, Engine size (cc), power (kw) and CO2 (g/km), whether the vehicle is imported." It can also tell buyers the number of previous owners the vehicle has had and the date ownership was transferred to the current keeper. Data shows that 58 per cent of drivers are subject to the older vehicle VED scheme, which is based on CO2 emissions. VED prices are also up for new petrol, diesel and electric models registered after 2017 with standard fees up from £190 to £195. Meanwhile, vehicles registered between 1985 and 2001 will pay up to £20 more in VED fees with prices calculated based on the size of their engine. Check your number plate here.
