End of the road for car tax disc

%VIRTUAL-SkimlinksPromo%After more than 90 years affixed to British motorists' cars, the tax disc is to be scrapped and replaced with a modern electronic system, Chancellor George Osborne will announce today.

For the first time motorists will also be able to pay for their vehicle excise duty (VED) by monthly direct debit, spreading the burden for hard-pressed drivers, although this will cost an extra 5%.