Industry News from Yes Insurance

The used car market in the UK could suffer if congestion charges are increased, a motor company has claimed.

Consultation on the charge by Transport for London began on Friday August 10th 2007 and could result in a £25 bill for those driving higher-emission vehicles.

This could mean that larger gas-guzzling cars depreciate in value as motorists offload them in an effort to cut costs, according to EurotaxGlass.

For some, it may be that the cost of maintaining such a vehicle is too much in addition to car insurance and road tax costs.

Managing editor of the firm Adrian Rushmore said that motor manufacturers could also be hit.

"Some vehicle brands might see improved sales for smaller, lower-emissions models in their range, with hybrids doubtless gaining further ground," he stated.

"Worst affected would be those marques whose ranges are dominated by higher-emissions cars."

The British public spoke out against the charge earlier this year, with 1.8 million signing a 10 Downing Street website petition to see it scrapped.

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