§ Mr. ChidgeyTo ask the Chancellor of the Exchequer what assessment he has made of the impact of changes in the rate of excise on unleaded petrol on the use of unleaded petrol by those drivers whose cars are able to use either four-star or unleaded petrol. [10252]
§ Dawn PrimaroloIt is not possible to calculate from the information available the impact of the changes in the rate of excise duty on unleaded petrol on those drivers who may choose whether to use four-star or unleaded petrol.
§ Mr. ChidgeyTo ask the Chancellor of the Exchequer what would be the financial impact to the Exchequer of reducing the differential between the rate of excise on unleaded fuel and four-star fuel by 1p per litre and the rate of excise on city diesel by 1p per litre. [10255]
§ Dawn PrimaroloUsing the hon. Member's assumption, the impact of increasing the duty rates on unleaded petrol and diesel by 1p per litre would yield approximately £185 million and £165 million in 1998 and 1999 respectively. Costings take account of the effects on behaviour where they are likely to have a significant effect on the yield and any consequential changes in receipts from related taxes including VAT and are measured against a non-indexed base. City diesel, is currently taxed at the same rate as ordinary diesel but is awaiting Royal Assent to the Finance Bill.