Friday, August 15, 2014

Would you risk investing in a new Taxi, knowing that from 2020 you will have to pay a daily surcharge to come in to Central London? Taxi Leaks Roving Reporter.

The first examples of super-clean Euro 6 diesel cars started to appear around January 2012. New car buyers have been able to choose Euro 6 diesel engines from manufacturers such as Mercedes and BMW for over 2 years now, with many more car firms tipped to roll out Euro 6 diesels before long. But Taxi manufactures have been slow to adopt the Euro 6 standard.

But what is a Euro 6 diesel?

In brief, it is a car/Taxi that meets super-strict emissions regulations set to come into force in 2015. Current exhaust emissions regulations meet Euro 5 standards, which became mandatory on 1 January 2011 for the sale of all new cars. 

Euro 6 standards are the next progression of this, and all new cars sold from 1 January 2015 must meet them.

So, what about Taxis being sold at the moment by LTC and KPM?

Despite enquiries, none of the current cab suppliers have made a statement about the fate of current Euro 5 Taxis after the introduction of the ULEZ ( Ultra Low Emmissions Zone).

The proposed ULEZ is due to be introduced in 2020 and it's been announced that Euro 6 Diesels would be exempt any charges to enter. 

That must mean that Euro 5 Cabs will be charged, a significant factor that affects both purchase and residual values of those cabs.

As is usual TfL have supplied no detail of the proposed ULEZ area, what specific arrangements for Taxis etc. Etc.

Importantly drivers looking to purchase cabs obviously need to have possession of the full facts, so they can make the right choices. We would have hoped by now that manufactures would have this information to hand and been offering substantial discounts on Euro 5 cabs.

It's been alleged by a major Taxi garage that LTC have not been releasing trade-in vehicles into the London used Taxi market for some time, thereby artificially creating a shortage of second hand Taxi vehicles. 

With this much uncertainty, more drivers are turning to renting vehicles causing the price of available rental cabs to increase. 

LTC have announced that the euro 6 TX4 will be available from 15th January 2015.

So far nothing from Eco City on Euro 6 Vitos.

New owners purchasing Euro 5 standard Taxis before 15th Jan 2015 must take into account that they will have to pay the Diesel engine daily surcharge to come in to Central London from the 1st January 2020. Plus the second hand/Trade in value of a euro 5 vehicle could plummet on the London market, leaving only the provinces as a viable alternative.

TaxiLeaks as ever will be first with the news as it arrives.


Richard D said...

Well done lads, you put the others in the shade.

4 wheels on my wagon said...

'Values could plummet', you betcha.

Try buying a new Euro 5 in December 2014 at 40K and see what trade in you get in January 2105 on a Euro 6.

Saw the history of Euro 6 in TAXI but no real advice, nothing in the Badge, there is advice on the RMT website, anything on The UNITE CTN site?

Be cautious we face challenging times..

Anonymous said...

wanted 1 euro 6 milk float. As a yb that's all I can afford.

Editorial said...

It has now been announced that All taxis will be exempt from the charge to enter the ULEZ but there will be a 10 age limit imposed on any Taxi not Zero emission

This info was not available at time of posting this article.