§ Mr. Adleyasked the Chancellor of the Exchequer what recent discussions he has had on the question of payment by caravans of a road fund tax; if he is satisfied that caravans make an adequate contribution to the Exchequer; and if he will make a statement.
§ Mr. HigginsA number of private individuals have suggested that caravans should become subject to Vehicle Excise Duty. The intermittent use of caravans on the roads would present considerable difficulties of administration and enforcement; and a duty would have to be charged at a penal rate in order to achieve any significant reduction in road congestion caused by vehicles towing caravans. It should be noted that caravans did not carry purchase tax, but touring caravans are liable to value added tax and that the Exchequer benefits from extra fuel consumed by towing vehicles by reason of a caravan's weight.