HC Deb 27 March 1981 vol 1 c452W
Mr. Arthur Lewis

asked the Secretary of State for Transport, in view of the fact that in 1978 it is known that there was between 7 and 9 per cent. evasion of the road fund licence, why action has not been taken to obtain the figures for 1979 and 1980; and whether he will do so and publish details.

Mr. Fowler

It would be wrong to take the 1978 survey as establishing precise levels of evasion. It recognised the inherent difficulties of doing so. As I indicated in my reply to the hon. Member on 16 March, I am concentrating on efforts to combat evasion directly.—[Vol. 1, c.41.]

Mr. Arthur Lewis

asked the Secretary of State for Transport if, pursuant to his reply on tax on road vehicles of 16 March, he will express as a figure the estimated loss to the Exchequer each year since 1978 of an evasion level of 7 to 9 per cent.; and what amounts may be expected under the tax increase proposed on 10 March in the first year to which such increase applies.

Mr. Fowler

The 1978 survey did not purport to estimate evasion precisely; it suggested that evasion for cars could be as high as 7 to 9 per cent. If a similar number of vehicles evaded each year, the relevant figures might be of the order of: 1978–79 £50 million to £63 million; 1979–80 £50 million to £63 million; 1980–81 £60 million to £75 million; 1981–82 £70 million to £88 million. But I have strengthened my Department's enforcement arrangements and I have obtained considerable further assistance from the police in my efforts to cut evasion.