Car pollution tax plans do not apply to leased vehicles

Measures announced at the start of the week aimed at making vehicles in Flanders cleaner do not apply to leased cars, budget minister Annemie Turtelboom has confirmed.

Before that can happen, a co-operation agreement has to be reached with the Brussels-Capital Region and Wallonia.

Flemish Minister-President Geert Bourgeois’ September Declaration, delivered earlier this week, included information regarding a reform of taxation on cars, making those running on diesel more expensive than cleaner alternatives using electricity, natural gas and hybrid motors.

In addition, premiums would be available for the purchase of electric cars, to take account of the higher average price.

But the measure only applies to privately owned cars, not to leased cars, which make up a large part of the diesel-driven traffic on the roads and as much as one-third of all company cars.

Turtelboom told VRT radio: "For the measure to apply to leased cars, an agreement with Brussels and Wallonia is required. Wallonia is reluctant to sign."

The lack of a common front on this issue would mean that leasing companies could simply register their cars in one of the other regions and escape the penalty tax, even if they were being used in Flanders.

"We have a choice: either introduce no measures at all or leave out leased vehicles," Turtelboom said. "But if Wallonia signs an agreement, then we can include leased cars in the measure."

For its part, the Walloon government denied blocking any accord. "Wallonia is in favour of the measure, also for leased cars," said a spokesperson for budget minister Christophe Lacroix.

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