HC Deb 31 January 1994 vol 236 cc500-1W
Mr. Wigley

To ask the Secretary of State for Transport if he will discuss with representatives of bus operators the change in the amount of rebate received in respect of duty on diesel fuel following the Budget; and if he will make a statement.

Mr. Freeman

Following preliminary discussions with my officials, the Bus and Coach Council is preparing a paper on the effects of the recent changes in the payment of fuel duty rebate which I shall be happy to discuss with it in due course.

Mr. Wigley

To ask the Secretary of State for Transport if he will publish details of the duty payable on diesel fuel used by local bus operators before and after the recent Budget, together with the corresponding proportions of duty as a percentage of overall cost of diesel fuel.

Mr. Freeman

The duty payable on diesel fuel before and after the recent Budget was 25.14p per litre and 27.70p per litre respectively. Duty as a percentage of typical retail pump prices was 50 per cent. before the Budget and about 53 per cent. afterwards. Before the Budget all duty paid by local bus operators was rebated. After the Budget, operators will continue to receive rebate at pre-Budget levels, which will mean that 2.56p per litre in duty will not be recoverable.

Mr. Wigley

To ask the Secretary of State for Transport if he will make it his policy to ensure that local bus operators continue to receive rebate in full in respect of duties on diesel fuel.

Mr. Freeman

The Chancellor of the Exchequer announced on 30 November that fuel duty rebate would be held at pre-Budget levels during the lifetime of this Parliament.