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FTA and RHA prepare fuel tax challenge
Page 6
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THE INQUIRY BY the trade associations intothe government's fuel tax policy following the collapse of the Lorry Road User Charge is looking at legal challenges.
The Freight Transport and Road Haulage Associations have briefed lawyers to investigate areas of fuel policy the government is ignoring or has failed on. The results will be submitted as evidence to the Burns Freight Taxes Inquiry, due to publish its report at the end of the month The seven legal questions are: • Is the government guilty of imposing unfair tax burdens, leaving foreign hauliers at a competitive advantage?
• Is the government guilty of using taxpayers' money to subsidise wear and tear caused to the road network, providing a financial subsidy to foreign operators? • Has the government unreasonably tried to cut demand for transport by fuel taxation?
• Is the EC guilty of failing to enforce a harmonised level of fuel duty across the EU?
• Should the amount of diesel brought into the UK in vehicle fuel tanks be limited?
• What are the implied cabotage limits on foreign operators?
• Have all the conditions been met so operators can work together on rates and services?
FTA policy director James Hookham says: "Both associations are leaving no stone unturned in their quest for a legal fix to the problem of high fuel taxes." RHA policy director Karen Dee adds: "We need to be clear that our government and the EC are fulfilling their commitments to ensure competition is fair."