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Important Deputation on The Conference of 60 -National

10th March 1933, Page 59
10th March 1933
Page 59
Page 59, 10th March 1933 — Important Deputation on The Conference of 60 -National
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Which of the following most accurately describes the problem?

Organizations Repr esen t ing

Vehicle Taxation Trade and Industry P utsUp

a Strong Case

ON Monday last the Chancellor of the Exchequer, the Rt. Hon. Neville Chamberlain, M.P., received an important deputation from the Conference of National Organizations representative of trade and industry.

Alderman F. H. Wort, J.P., introduced the deputation, being supported by Mr. Frank Pick (who spoke on behalf of the Conference), Mr. E. Hoyle (on behalf of traders generally), Colonel Arthiu• Jerrett (on behalf of retail and distributive trades), Mr. Norman A. Hardie (on behalf of motor-vehicle manufacturers), Oci Mr. F. G. Bristow, C.B.E.' hon. secretary. The following is a résumé of the points raised. The Conference accepts in principle that motor vehicles should pay their fair share of road costs. It cannot accept the Salter proposal that the whole cost should be borne by them, there being neither justification nor proof of the fairness and propriety of such proposal. It accepts provisionally the -Royal Commission on Transport's recommendations that motor vehicles should contribute two-thirds of the cost, either through vehicle dirties or petrol tax.

Any taxation for purposes other than meeting road costs should be defined and specific, and the subject of separate consideration and justification, whether for railway protection, the support of general revenue, sumptuary purposes or on other grounds, but as transport is a basic service, no such taxation should fall on commercial vehicles for goods or passengers, as it must eventually be borne by trade and industry in the form of enhanced costs or fares and charges. Attempts to ease industry's burdens by rate relief are nullified if the taxation falls in another way.

Certain revisions of licence duty may be desirable, in particular, that the scale of duties for goods vehicles should extend above 5 tons unladen and that increments having. regard to the existing scale in .respect of each additional ton would be reasonable,. provided that the total amount payable does not exceed a fair impost for the roads..

Special vehicles for the carriage of indivisible loads would require special treatment having regard to their limited mileage.

There is a reasonable case to piece additional duty upon vehicles escaping the petrol tax, but battery-electric vehicles will need special consideration.

In the last complete accounts, motor taxation contributed £23,558,000, rates gave £37,169,000, but the transport industry in its widest ramifications bears a cons'derable share of the amount contributed by rater.

This year the taxation on motors is estimated at £62,110,000, made up of £27,910,000 for licences, and £34,200,000 for petrol tax, thus there would appear to be an unanswerable case for some reduction of taxation.

The two problems of competition of road and rail transport and the proper taxation of motor vehicles are quite distinct, but have been linked, to the prejudice of road interests.

Seventy per cent. of goods vehicles belong to Manufacturers and traders or work solely for them. The greater proportion of goods traffic by road is for distribution having a relatively short haul ; the goods traffic of the railways, in large part, is carried on the roads at each end. Motor vehicles are the only convenient, safe and satisfactory way by which many classes of traffic can be carried. There is no justification for taxing road transport to protect the railways. The principles adopted in the Salter Report for the distribution of the fair and proper proportion of road costs to be borne by motor vehicles are incomplete and inequitable. No consideration is given to the number of wheels and axles, no allowance for the varying bearing surface of the tyres, no due allowance for restrictions on -the construction of motor vehicles under M. of T. regulations. If there is to be a revision of duty, the conference asks that the problem be referred to a technical committee upon which makers and users May be represented.

It is a matter of regret that in this issueof taxation, reference must be made to a document which, having regard to the constitution of the Salter Conference, cannot be taken to be impartial or judicial. The issue of taxation should be a matter for the business-like review of the pertinent facts, in connection with which -the railways, except as user. of road transport, are not concerned.


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