Ford tells us that changes to the Finance Bill are set to bring good news to companies opting for diesel Mondeo models, in particular the ultra-low-emission Ford Mondeo Econetic.
A 20 per cent reduction in VAT is planned for company cars delivering less than 156g CO2, which will bring down the effective cost of the Econetic by more than €900.
The reduction applies to company cars where over 60 per cent of the mileage incurred is business-related. The saving will apply to all Mondeo 1.8 TDCi diesels, including estates, all of which have emissions below 156g. The engines are available across the range of trims, from LX to Titanium, with the entry-level four-door LX falling from €26,695 to €25,920 ex-works.
The high-spec Mondeo Econetic Zetec five-door boasts a CO2 emission level of just 139g. With the new VAT reduction the cost to companies will reduce to €28,845 ex-works.
“The reasons for choosing Econetic just keep mounting,” says Eddie Murphy, chairman and managing director of Ford Ireland. “First you have VRT at 16 per cent. Then there’s road tax of €156 per annum, and now an effective reduction of €900 on the purchase price. This is not to include the fuel economy itself, which is the rationale behind the incentives.”
Ford throws in the footnote that the Focus 1.4 petrol and 1.8 and 2.0 TDCi, increasingly popular choices for businesses, will also come down in price for qualifying companies, with savings of up to €730.
