Revenue from certificates of entitlement and vehicle registration taxes for the financial year will shrink by $1.1 billion.
According to the Land Transport Authority, car population is down four percent as the total number of vehicles shrinks for the third straight year.
Certificates of entitlement for cars dipped in the latest tender yesterday, pointing to private-hire players easing off in their race to garner market share.
The supply for COEs for the August-October quota period has contracted because more motorists have decided to extend.
Vehicle buyers will have fewer Certificates of Entitlement to bid for during the quota period from August to October.
Future owners of new motor vehicles can expect the current surge in supply of Certificates of Entitlement to continue for the next two years.
Taxi's have been removed from CAT A COE's after an announcement made from LTA last week. From 2013 Taxi operators have to meet new standards.
LTA has announced today the removal of Taxis during the bidding process of COE's from next month to compliment Singapore's move towards a lower vehicle growth.