Lord DUNLEATHasked Her Majesty's Government:
Whether, when drawing up proposals for a new system of motor taxation, they would consider abolishing the same 1246WA and instead placing a higher duty on petrol, thus reducing administrative costs, discouraging motorists from making unnecessary journeys while encouraging them to drive vehicles that are most economical in their consumption of fuel.
§ The MINISTER of STATE, TREASURY (Lord Cockfield)The Government considered the arguments for and against abolishing vehicle excise duty and replacing it by increased petrol taxation last autumn but concluded that the case was not sufficiently strong to justify this major change. We were particularly concerned that the change would place too big a share of the burden of motoring taxation on high mileage motorists, including some rural motorists and essential business users.