§ Mr. David MarshallTo ask the Chancellor of the Exchequer what is his estimate of the total loss of revenue to the Treasury if the number of vehicles using Britain's roads were to be reduced by 1 per cent.; and if he will make a statement.
§ Sir George YoungAssuming that a 1 per cent. reduction in the number of vehicles on the roads was accompanied by a 1 per cent. reduction in the use of road fuels, then the loss of revenue would be around £200 million. This takes account of reduced receipts of vehicle excise duty, road fuel duties and consequential VAT. It takes no account of any increased receipts that might arise from increased spending on other items.