§ Mr. BakerTo ask the Chancellor of the Exchequer by what percentage he estimates company car mileage will reduce as a consequence of the measures introduced in his last Budget. [88717]
§ Ms Hewitt[holding answer 29 June 1999]: The measures introduced in the last Budget reduce the incentive for drivers to use a company car for business mileage and to do excess business mileage simply to qualify for discounts on their tax charge. They are therefore likely to lead to a small reduction in company car mileage. The Inland Revenue also estimates that as a result of the comprehensive reforms to be introduced in 2002, between 100 and 300 million fewer business miles will be driven in company cars, a reduction of between 0.3 per cent.–0.8 per cent.