This comes despite speculation in national newspapers over the weekend that changes to VED could be postponed for a year.
Mark Sinclair, director at fleet provider Alphabet, said: "The decision to soften the impact of new VED rates is a welcome one but the overall impression is that these are hastily thought through measures that reveal a basic lack of understanding of business realities."
Gary Hull, director of HR services at PricewaterhouseCoopers, does not think the changes will have a big effect on employers because of the amendments already being made to capital allowance laws, meaning employers will receive 20% relief on the writing down cost of vehicles that emit less than 160g/km of CO2. The relief reduces to 10% for vehicles that emit more CO2 than 160g/km.
Hull said: "This relief means employers are already motivated to have a greener fleet."
Andrew Cope, chief executive of Zenith Vehicle Contracts, added: "VED is a retail issue, not a corporate issue. There are very few high-polluting corporate cars."
