Toyota and Lexus implement reduction in VAT - 28/11/2008

Lexus and Toyota is passing on the reduction in VAT to its customers immediately, by slashing the prices of its cars. From December 1 the new 15% VAT rate will be reflected in Lexus' prices. This includes the refreshed 2009MY Lexus IS model range, the new IS 220d SE is priced at just £22,015 on-the-road, compared to £23,192 for the previous IS 220d. Prices for the RX400 hybrid have also been reduced, now starting at £35,505 - down £768 - for the entry level model.

Parent company Toyota are also offering reduced prices in line with the new 15% VAT rate. It's new iQ has been reduced by up to £240, with the model range now starting at £9,295. The iQ is available to order now, with first deliveries to customers in January 2009. Full price details are available from Toyota and Lexus dealers or can be found online.