The Bourne Agenda is a fortnightly blog brought to you by Bourne Business Consulting LLP, an independent tax and business consultancy with offices in London and Farnham.
Today there is increasing pressure on the government and businesses to become greener. We have seen several tax initiatives launched by the government in the area of Capital Allowances to address these pressures including the Enhanced Capital Allowances (ECA) scheme. Recently, we have seen a shift in policy on the expensive cars scheme, to encourage businesses to buy green. This blog compares the new and old rules for expensive cars to determine whether these changes will genuinely encourage businesses to go green.
The old regime
In 1961 rules were introduced that restricted the amount of tax relief that a busi...