Public Transport (Tax Relief)

HC Deb 18 July 1994 vol 247 c5W

Mr. Denis MacShane

To ask the Chancellor of the Exchequer if he will introduce tax relief on the purchase of new public transport vehicles.

Mr. Dorrell

Expenditure on the purchase of new public transport vehicles is already entitled to tax writing down allowances of 25 per cent. per annum on a reducing balance basis. This allows almost 70 per cent. of the cost to be written off over the first three to four years of the vehicle's life.