§ Lord Braine of Wheatleyasked Her Majesty's Government:
What evidence they have that increasing the cost of petrol dissuades motorists from using their vehicles and whether they will place in the Library of the House any reports or studies which confirm this. [HL1088]
§ Baroness HaymanThe Government are aware of a substantial number of studies based on evidence from both trends over time and from different countries,26WA which demonstrate that higher fuel costs dissuade motorists from using their vehicles. The majority of these studies are available publicly, and are too numerous to be placed in the Library. A recent review of these studies was compiled by Professor P. Goodwin and was published in the Journal of Transport Economics and Policy (May 1992).
In addition, the DETR published the National Road Traffic Forecasts Great Britain (1997) last October, a copy of which was placed in the Library of the House. The forecasting methodology takes account of the effect of motoring costs on vehicle use through a relationship based on data going back to 1950.
§ Lord Braine of Wheatleyasked Her Majesty's Government:
Whether increases in fuel duty have a greater impact on those on low incomes and those without access to alternative modes of transport than on other groups. [HL1158]
§ Baroness HaymanThe impact of an increase in fuel duty on a particular household group will depend on a great many factors, the most important of which are car ownership and income. Recent research by the Institute of Fiscal Studies1 suggests that population density, which is linked to the availability of alternatives, is also important, but less so than income and car ownership.
(1) The Distributional Effects of Taxes on Private Motoring, The Institute of Fiscal Studies, Commentary 65, December 1997.