HC Deb 09 February 1999 vol 325 cc117-8
13. Mr. Tom Brake (Carshalton and Wallington)

What measures the Government plan to reduce the mileage driven by company car users. [68276]

The Minister of Transport (Dr. John Reid)

The Government's White Paper "A New Deal for Transport" contains a wide range of measures to encourage more sustainable car use, many of which should help to discourage unnecessary mileage by company car drivers. We especially want to promote green transport plans among large employers; our aim is to reduce car use for travel to work and on business. The Government continue to review the company car taxation regime, to see how it might be altered to send better environmental signals.

Mr. Brake

I thank the Minister for his response. Will he consider requiring company car drivers to display prominently on their cars the name of their company and a telephone number, so that they are discouraged from using their cars on illegal journeys and dangerous driving is discouraged?

Dr. Reid

The hon. Gentleman in many ways symbolises what is good and bad about the Liberal party: the sentiment is good and the ideas completely batty. That plan would intrude on the privacy of those individuals and raise questions of security. That shows that it is an ill-thought-out plan. Therefore, although I am prepared to give an accolade to his good sentiments, I suggest that he think a little more about the practical implications of his proposals.

Mrs. Anne Campbell (Cambridge)

Is my right hon. Friend aware that transport is critical for the economic development of the eastern region? Does he agree that a change in company car taxation so that a bigger subsidy could be given to public transport would be one way to solve the severe congestion that we face, especially in the region around my constituency?

Dr. Reid

Yes, I accept that the eastern region is important for the economic development of the country as a whole. We have introduced the idea of a new income stream for local authorities through congestion charging, which partially meets my hon. Friend's point. Both sides of the House recognise that the main problem with company car taxation is that, at a certain level, there is an incentive to drive more business miles to pay less tax. I know that the matter has been, and continues to be, reviewed by my right hon. Friend the Chancellor of the Exchequer. It has been discussed between Departments and between the Chancellor and my right hon. Friend the Deputy Prime Minister.