HC Deb 16 November 1998 vol 319 cc363-4W
Mr. Woodward

To ask the Chancellor of the Exchequer what discussions he held with Department of the Environment, Transport and the Regions on the proposals contained in the Transport White Paper prior to his recent announcement of changes in Vehicle Excise Duty rates. [59508]

Ms Hewitt

[holding answer 12 November 1998]: As usual, all Government Departments with an interest worked together closely in developing the documents to which the hon. Member refers.

Mr. Woodward

To ask the Chancellor of the Exchequer what assessment he made prior to the announcement of his decision of Vehicle Excise Duty rates of the relative merits of diesel cars in respect of(a) fuel efficiency and (b) pollution generation. [59518]

Ms Hewitt

[holding answer 12 November 1998]: The consultation document published on 3 November sets out the options for the reform of Vehicle Excise Duty (VED). VED will, as usual, be considered at the time of the next Budget.

Mr. Woodward

To ask the Chancellor of the Exchequer if changes to Vehicle Excise Duty will be revenue-neutral. [59507]

Ms Hewitt

[holding answer 12 November 1998]: Decisions on Vehicle Excise Duty rates will. as usual, be announced at the time of the next Budget.

Mr. Woodward

To ask the Chancellor of the Exchequer what estimate he has made of(a) the cost to the Treasury of the £50 reduction in Vehicle Excise Duty for smaller cars and (b) the additional revenue that will be raised for the Treasury from increasing Vehicle Excise Duty on (i) larger cars, (ii) company cars, and (iii) LGVs in the course of a full financial year. [59506]

Ms Hewitt

[holding answer 12 November 1998]: The consultation document published on 3 November sets out options for vehicle excise duty reform. The revenue implications will depend on the details of the option chosen.

Mr. Woodward

To ask the Chancellor of the Exchequer what steps he will take to ensure that motorists living in rural areas are not disproportionately affected by changes to Vehicle Excise Duty. [59505]

Ms Hewitt

[holding answer 12 November 1998]: The Government recognise that for some, especially those living in rural areas, car ownership can be a necessity. The consultation document published on 3 November sets out options for vehicle excise duty reform. A reduction in VED of £50 for the cleanest cars will, as a result of these reforms, be available to everyone, including those living in rural areas.

Mr. Woodward

To ask the Chancellor of the Exchequer (1) if he will introduce changes to Vehicle Excise Duty rates to take account of the inefficiency of aging vehicles; [59494]

(2) what measures he proposes to ensure that the use of car age as an emissions proxy for the purpose of setting Vehicle Excise Duty rates does not disproportionately affect lower income groups. [59503]

Ms Hewitt

[holding answer 12 November 1998]: The options for a new system of vehicle excise duty are set out in the consultation document that was published on 3 November.