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Petrol Duty

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Old 23rd Oct 2000, 19:16
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pom
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Cool Petrol Duty

Well, three weeks to go to the deadline, and as yet no sign of movement by the government. I did hear a government spokesman say that if they lowered duty for hauliers, then they would have to reduce their prices and would be no better off. I thought that was the whole point, they could lower their prices and be competitive with foreign companies. Of course, that would mean prices would come down for consumers generally. This would seem to be a win/win situation, the only losers would be the Treasury who are already enjoying a huge windfall this year. The government's claim that it's OPEC's fault for keeping crude prices high doesn't wash. Britain is a net exporter of oil, and not an OPEC member. Our oil prices are the same as everyone else's.

The government really needs to think out its policy towards motorists before the next election campaign. Here are just a few of the policies they've already proposed:

2000: Electronic speed camera trials able to trap three drivers per second have started in Nottingham. Proposals to make speeding a £1,000 offence and raise other motoring penalties are to be decided soon. Spread M25-style zero-tolerance, variable-speed cameras to other motorways from 2002-3.

2001: Graduated Vehicle Excise Duty ("road tax") on new cars starting next March. Based on exhaust emissions, it will look harmless at first but from 2002-on, GVED will double or quadruple from today's £100-£155 to £350-£450 on upper mid-range cars and soar to £900 or £1,000 per year on executive cars, warn Whitehall insiders.

2002-4: Company car emissions-related "benefit" tax begins in 2002. Its ratchet-up mechanism in 2003 and 2004 will "hit" cars registered this year. About half of the nation's 2.4-million company car drivers are set to receive soaring benefit-in-kind tax bills. Some will rocket from £6,000 now to £14,000 by 2004.

2002-3: Road pricing tolls at £5 or £7.50 (lorries £15) to enter town and city centres starting in London in 2003 or 2002 if Mayor Ken Livingstone has his way. Transport supremo John Prescott is now busily "de-trunking" about a third of English A-roads to enable local authorities to toll as they please - up to 5p per mile is possible.

2002-3: The £5 gallon, nearly £4 of it tax, is expected if it has not arrived sooner. Labour has stopped the fuel duty escalator introduced by the Conservatives but has not yet stopped escalating fuel taxation at above inflation.

2003-6: Workplace parking levies of £2,000 a year wherever town councils wish; 24 councils are interested. It is planned to start in 2003 and be increased in 2006 from £8 per working day to £10, raising the annual levy to £2,500, say experts.

2003-6: Parking meter and off-road parking charges raised in 2003 and again in 2006 to deter workplace parking dodgers and in-town driving. There are ideas also to levy off-road parking charges.

2003-6: Motorway electronic speed cameras set at or near zero-tolerance on all motorways, automatically endorsing drivers' licences at the DVLA and fining offenders up to £1,000 a time. Some motorway cameras could appear in 2002 following Nottingham trials.

2006-10: Motorway tolls of six pence per mile, meaning a £12 tax for a London-Birmingham round trip in return for a possible seven pence per litre cut or no rise in fuel duty.

 

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