GE Capital's Gary Killeen provides his reaction to the PBR:

“One surprise is that the Government has not taken action to bring light goods vehicle taxation in line with the current CO2 emission linked taxation already imposed on cars.

"However, as the European Commission puts increased pressure on van manufactures for an average CO2 of 175g/km and an average mile per gallon figure of 42.8 from 2014, this is certainly something we could well expect the government to announce in the future.

“Due to the typical usage profile, geographic concentration and relatively lower mileage per journey of vans, the current rate of adoption of electric vans is more advanced than electric cars for fleet use.

"Therefore, whilst the electric van related incentives will drive the right behaviour, it begs the question of how beneficial a company car tax holiday for electrically powered company cars really is.

"While any move by the Chancellor to reduce CO2, NOx and Particulate Matter is welcome, what is needed now to fully realise this environmentally-led tax benefit, is a greater acceleration of the infrastructure and technology required to support this policy change for company car drivers.

"As importantly, the overall cost of provision and the attractiveness of the vehicle itself will be prime factors in the decision making process relating to wider market adoption.”