Community Transport Schemes (Hansard, 7 January 2003)

§ Hywel Williams
To ask the Secretary of State for Transport what representation he has received in respect of amending regulations relating to community transport schemes so as to facilitate their development. [88982]

§ Mr. Jamieson
We have had several discussions with the Community Transport Association and the Association of Transport Co-ordinating Officers about the regulations affecting community transport.
Regulations were brought forward in England, with effect from 1 May 2002, to extend the Bus Service Operators Grant (formerly Fuel Duty Rebate) to a wider range of community transport services. I understand that the National Assembly for Wales has introduced similar provisions with effect from 14 August 2002.
In addition we have recently consulted on proposals (affecting both England and Wales) to facilitate the registration of flexibly routed bus services, which should increase the scope for community operators (among others) to register such services. We are now analysing the responses.

§ Hywel Williams
To ask the Secretary of State for Transport what provisions are in force for the exemption of community transport vehicles from vehicle excise duty when(a) they are used exclusively by disabled people and (b) they are used both by disabled and able bodied people. [88983]

§ Mr. Jamieson
The provisions governing the exemption from vehicle excise duty for vehicles used by or on behalf of disabled people are set out in schedule 2 of the Vehicle Excise and Registration Act 1994. Paragraph 20 of the schedule states that a vehicle used for the carriage of disabled people by a body recognised by the Secretary of State is exempt from vehicle excise duty. In practise this means that the body should be registered with the Disabled Persons Transport Advisory Committee.
However, section 15(2) of the Vehicle Excise and Registration Act states that where a vehicle is used in a way which would render it liable to taxation at a higher rate, the higher rate is payable. This means that where a vehicle is used for both disabled and able-bodied people, vehicle excise duty is payable at the normal rate applicable to that vehicle.