HL Deb 22 May 2000 vol 613 cc66-7WA
Earl Attlee

asked Her Majesty's Government:

Whether the Vehicle Excise Duty rate for goods vehicles is set to take account of the annual mileage likely to be covered. [HL2426]

Lord McIntosh of Haringey

The Chancellor of the Exchequer takes into account a number of factors when considering the apppropriate rates of Vehicle Excise Duty (VED) for different goods vehicles. In general, these do not include estimate of the average annual mileage undertaken by different lorries, since that will vary according to the types of journey undertaken by a lorry, not according to the type of lorry used.

However, there are a number of other goods vehicles which attract a concessionary rate of VED because they are primarily used off the public road, including a range of goods vehicles used in agriculture and construction. There is also an exemption from VED for goods vehicles used to travel less than 1.5 kilometres between any two different parts of land occupied by the same person for purposes relating to agriculture, horticulture and forestry.