Mitsubishi Outlander: BIK changes make a compelling case for PHEVs

Benefit-in-kind (BIK) tax changes for company car users due in April will make the Mitsubishi Outlander PHEV more attractive to business motorists.

The BIK rate on the Outlander PHEV – the UK’s best selling plug-in hybrid – will fall from 16% to 12%.

Rob Lindley, the managing director of Mitsubishi Motors UK, has also called for a review of VED banding, which currently delivers just a £10-a-year incentive for those buying a lower-emission vehicle.

“It is encouraging that proper consideration has been given to plug-in hybrid vehicles as part of the upcoming BIK updates. We are hopeful that the Government is beginning to understand that PHEVs represent the perfect segue to a zero-emission future,” said Lindley.

A survey of UK Outlander PHEV customers by Kadence International for Mitsubishi found more than half of their average weekly mileage of 179.2 miles is driven in electric mode (90.6 miles), with 68% charging the car at least daily.

As AM’s editor, I’ve been fortunate to test cars of all powertrain types (except hydrogen) and I concur that PHEV is a suitable compromise for many people. About 75% of my usage of this Outlander has been on electric. It makes home charging a habit, builds it into the driver’s mindset, and does it without the fear-factor – undue in my view – of becoming stranded on a roadside with a flat battery.