§ If that is the law and the constitutional position, let us look at the equity. The state has made a liberal provision for the roads since the War. Immediately after the Armistice, when the roads were neglected and, when the Road Fund was depleted, and when the Exchequer conceived itself to be endowed with limitless wealth, not only was the £8,000,000, which the Motor Licence Duties were then estimated to yield, devoted to road improvement and maintenance, but a further capital sum of over £8,000,000 was granted from the Exchequer as capital assistance to supplement the revenues of the Fund. Moreover, the Exchequer continued to provide, and is now con- 1714 tinuing to provide, through the Local Taxation Account, that unallocated balance on the Assigned Revenues system of about £1,500,000 a year, which since 1888 has taken the place of the old Exchequer grant for main roads. Above and beyond this the Exchequer has given considerable assistance to road works since 1920, and has gone on paying an increasing sum, a heavily increasing sum, for extra police, metropolitan and provincial, required for point duty in consequence of the ever-increasing number of motor cars on the roads.
§ It is this situation which Parliament must review, and which Parliament, in its plenary authority, is entitled to review. His Majesty's Government have decided to propose to Parliament that £7,000,000 shall be transferred to the Exchequer out of the balance of approximately £19,000,000 in the Road Fund. For the future we propose that the revenue from motor taxation shall be divided between the Road Fund and the Exchequer on the broad principle that what is raised on account of wear and tear should go to the roads and the balance from the luxury or the pleasure aspect of it shall go to the Exchequer.