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4 comments
Conversely, you can take the VED charge of (kind of randomly chosen) GBP130 / yr for a 1.3L car and charge a bike relative to that which is 0.19 p a year, so we could pay a 5 year sticker for 1 p ...
This is a very interesting calculation.
I have taken it a little further as some may argue that £10 is too much. The administration of Vehicle Excise Duty (VED) is £3.75 per vehicle (£127,689,000 collection costs of VED and 34,100,000 vehicles licensed for use on the roads in Great Britain 2009-2010) so it could not realistically be less than that. Even if they were looking for it to be cost neutral for bicycles though it would still make car tax £245,760.
Sources:
https://www.whatdotheyknow.com/request/36347/response/97782/attach/html/...
https://www.gov.uk/government/uploads/system/uploads/attachment_data/fil...
You sure did, taking the 16 ratio as reasonable - you've inadvertently given the car a 90% discount. £10 x 65536 = £655,360 (I think this level of vehicle taxation may affect the economy slightly)
And the prize goes to Man of Lard for spotting my error - thanks for that, it makes my calculation seem reasonable!