There has been EU legislation on polluting emissions for new cars since 1970; however, it wasn’t until 1992 that laws requiring the use of exhaust catalytic converters first came into force with Euro I. The tougher Euro II (in 1997) and Euro III (in 2001) soon replaced Euro I. The Euro Standard is shown on the registration document for all cars first registered after March 1, 2001.

Company car drivers of Euro IV specification diesel engines have been enjoying a benefit in kind tax saving of three percent. However, on Jan. 1, 2006, there will be a reintroduction of a 3 percent diesel surcharge. New Euro IV cars purchased before the deadline are not subject to the tax.

The European Union is currently working on the Euro V standard, due in 2010. According to www.timesonline.co.uk, it is likely to make further cuts in particulate emissions from diesels and could force carmakers to fit particulate traps in exhaust systems.