Vehicle excise duty evasion: 2002

Main results for Great Britain:

  • Vehicle Excise Duty evasion is estimated to cost £193 million in the year 2002/03.
  • The revenue lost from VED evasion is equivalent to 4.5 per cent of the total revenue that should be raised. The equivalent figure in 1999/00 was estimated at 3.9 per cent. This increase in evasion is equivalent to a loss of around £26 million per year.
  • In the Private and Light Goods tax class which accounts for 88 per cent of vehicle stock, evasion rose from 3.4 per cent of vehicles in use in 1999 to 4.2 per cent in 2002.
  • The survey also showed that vehicles that are not correctly licensed travel less than properly licensed vehicles.
  • Evasion amongst the vehicle fleet is highest amongst motorcycles, special machines and other vehicles, as was also the case in 1999.
  • Evasion rates are higher for older vehicles. Evasion amongst vehicles in PLG more than 10 years old is nearly five times the evasion level of vehicles less than 10 years old. Evasion is around 10 times higher for vehicles whose owner details are not known.

Main results for Northern Ireland:

  • VED evasion is estimated to cost £13.0 million in the year 2002/03.
  • Revenue lost is equivalent to 10 per cent of total revenue, broadly the same as in 1999/00.
  • Evasion in the Private and Light Goods class stayed at around 10 per cent between 1999 and 2002, while evasion amongst goods vehicles rose from 7 per cent to 10 per cent.

Publication details

Published on 27 March 2003 by Transport Statistics

Available by telephone order on +44 (0)20 7944 3077

E-mail vehicles.stats@dft.gov.uk for queries concerning Vehicle Excise Duty Evasion.

For related documents, pages and internet links, see the column on the right.