§ 18. Mr. Fisherasked the Secretary of State for Transport what have been the costs, in advertising and manpower, of the intensive campaign against car tax evasion in the past 12 months; and how many unlicensed vehicles were identified as a result of their campaigns.
§ Mr. RidleyThe costs directly incurred by my Department in advertising and manpower for the 20 intensive campaigns held during 1983 amounted to about £330,000. A total of 16,202 reports alleging VED evasion were received by my Department as a result. In addition, an estimated 85,000 additional vehicle licences were bought as a result of publicity that campaigns attracted.
§ Mr. FisherIn view of those figures, may I ask what discussion the Secretary of State had with the Treasury before the decision was made to raise excise duty in the Budget, and what is his Department's estimate of the effect that that rise will have on evasion?
§ Mr. RidleyThe rises in excise duty in the Budget are barely more than is necessary to cover for the change in the retail price index since the previous Budget. My right hon. Friend and I discussed them and felt content with them. The problem of the evasion of VED will remain, whatever its level, but we have increased the effectiveness of enforcement, as the figures that I have given show.