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New Government measures to reduce cost of motoring

  Monday, 28 October 2013

The Government is moving to reduce the cost of motoring by freezing charges for MOT tests and cutting petrol prices along motorways.

The maximum MOT inspection fee is to be frozen at £54.85 until 2015, while road signs on motorways will now display pump prices to allow motorists to choose those with the cheapest fuel.

From January, selected motorway routes will include electronic comparison signs, similar to a system already operating in France. This came as an Office of Fair Trading (OFT) report found that unleaded petrol is on average 7.5p a litre more expensive on motorway forecourts.

Plans are also being set out to reduce the price of insurance premiums by clamping down on the number of false whiplash compensation claims. Driving test fees are to be reviewed too, with motorists feeling that £31 for a theory test, £62 for a practical test and £50 for a provisional licence is too much:

“The costs of owning and running a car are felt by millions of households and businesses across the nation. The Government is determined to help keep those costs down,” said Roads Minister, Robert Goodwill.

Insurance premiums increased by more than 40 per cent two years ago, but have been reducing steadily over the last year, with online price comparison sites making the industry intensely competitive. However, false whiplash claims are on a worryingly upward trend:

“The move to tackle fraudulent whiplash claims will be launched next year. Claimants will be examined by new independent medical panels, replacing the current system of assessments by GPs or doctors employed by insurance companies,” added Mr Goodwill.

Chris Grayling, the Justice Secretary, says false whiplash claims are morally repugnant:  

“It’s not right that people who cheat the insurance system get away with it while forcing up the price for everyone else, so we are now going after whiplash fraudsters and will keep on driving premiums down.”

Government critics argue that reducing the cost of motoring is merely a ploy to woo motorists ahead of the next general election. Some argue that the Government should be raising the cost of motoring in a bid to reduce carbon emissions, and should instead be focusing on encouraging ultra-low carbon forms of technology.

If you would like to reduce your motoring costs further, why not trade-in your gas-guzzler for a new ultra-low-carbon model.

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