Evaluating RDE2 Diesel Investment

With the introduction of RDE2 standards, many drivers are wondering whether the additional cost of an RDE2 compliant diesel vehicle is justified by the tax savings and other benefits. This analysis helps you make an informed decision.

Cost-Benefit Analysis

Initial Costs

• Higher purchase price (typically £500-£1,500 more)
• More advanced emissions technology
• Newer vehicle benefits

Tax Savings

• First-year tax savings up to £520
• No diesel supplement
• Potential clean air zone savings

Different Usage Scenarios

The value proposition varies depending on your usage pattern:

High Mileage Drivers (15,000+ miles/year)

• Better fuel efficiency benefits
• Tax savings more significant
• Lower running costs
• Strong value proposition

Average Mileage Drivers (8,000-15,000 miles/year)

• Moderate benefit from fuel efficiency
• Tax savings still relevant
• Break-even period: 2-3 years

Low Mileage Drivers (Under 8,000 miles/year)

• Longer period to recoup costs
• May want to consider alternatives
• Tax savings less significant

Long-Term Benefits

Beyond immediate tax savings, RDE2 compliant vehicles offer:

• Better resale value
• Future-proof against emissions regulations
• Lower environmental impact
• Improved fuel efficiency

Alternative Options

Before committing to an RDE2 diesel, consider:

• Hybrid vehicles
• Electric vehicles
• Modern petrol engines
• Used RDE2 compliant diesels

Key Decision Factors

Consider these factors when making your decision:

• Annual mileage
• Planned ownership duration
• Local clean air zone requirements
• Driving patterns (urban vs. highway)
• Budget constraints

Conclusion

RDE2 compliant diesels represent good value for high-mileage drivers and those planning long-term ownership. The initial cost premium is typically offset by tax savings and better resale value, particularly for those covering more than 15,000 miles annually.

To calculate your specific tax savings with an RDE2 compliant vehicle, use our free car tax calculator.