ROAD TRANSPORT MATTERS IN PARLIAMENT.
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A Reduced Car Tax Proposed. Retention of the Commercial Vehicle Scale of Duties. Traffic Delays in London.
By Our Special Parliamentary Correspondent.
IN discussion of the Finance Bill in committee Mr. Crawford moved an amendment to Clause 3.1, the effect of which was to reduce by 25 per cent, the taxis on motorcars (bringing the tax of £1 per horse-power under para. 6 to 15s.). His argument was that these• taxes were raised for the specific purpose of constructing and maintaining roads and should be kept, at the level necessary for that purpose instead of being devoted partly to other purposes. Colonel Ashley, in resisting the amendment, said it would mean a loss of revenue of £2,500,000 in the present year. As to the raiding of the Road Fund, he thought the Chancellor of the Exchequer had had no other option than to do what he had done.
Colonel Howard-Bury recalled that in 1920 the motor users were asked by the Chancellor of the Exchequer of that year if they would consent to a very heavy horse-power tax, and they agreed on condition that the money was applied for the benefit of the roads. There was a definite promise that when there was a surplus the tax upon motors would be reduced. Yet during the last two years the present Chancellor of the Exchequer had taken £27,000,000 from the Road Fund. The fairest tax would be a tax on petrol, but if this change -were not made, a reduction to.15s. per horse-power should be seriously considered.
Mr. Snowden refused to support the amendment, as it would reduce the yield of motor taxes, and the needs of the roads had not been exhausted. After a considerable study of the question, all his convictions were that the present method of assessing on a combination which was called " horse-power " was defi nitely preferable to a tax on petrol. The amendment was rejected by 209 votes to 7.
Smaller Steps in Commercial Motor Duties.
COLONEL HOWARD-BURY moved an amendment to clause 11 to give effect to a new scale of duties for commercial vehicles, the particulars of which were published in The Commercial Motor on June 7th. He said the scale agreed to last year was very steep, and manufacturers felt it 'a grievance that they had not been consulted, as they would have suggested a scale of smaller steps. The effect of his amendment was to put in intervening steps of 5 cwt. so that the tax, instead of rising by £10 or £14, as at present, would rise by steps of £3 or £4. Manufacturers had found that the effect of the present tax was to limit design and to affect our export trade. To put in improvements which would add a few pounds to the weight might involve an additional tax of £10. He did not consider that the effect of the proposed scale on revenue yield would be very appreciable. The yearly increase of commercial cars was about 20,000, which meant at the minimum an increase of £300,000 a year. His amendment would result in the revenue being stationary for the first year, after which it would increase.
Under the present scale manufacturers were compelled to make two kinds of car—one for home trade and another for the Colonial trade. That could only mean an increase in production cost, whereas if they had one model for both home and export trade, cars could be sold more cheaply abroad.
Colonel Ashley said he had two objections. The minor one wagthat the more steps they had the more would be the administrative expenses.
Colonel Howard-Bury pointed out that they had
steps of horse-power in regard to motorcars. Colonel Ashley replied that it was very simple to deal with the horse-power scale. His major objection to the amendment was that it would cost the Road Fund at least £500,000 a year and probably £600,000. It was impossible to give away that amount. He promised, however, to look into the matter between now and next year and see whether anything could be done.
The amendment was then withdrawn.
Encouragement of Pneumatic Tyres.
MR. SCURR mol7ed an amendment giving a rebate of 25 per cent, on vehicles exceeding 2 tons in weight if fitted with pneumatic tyres, his object being to encourage the use of pneumatic tyres and to lessen damage to the roads. He declared that at present 95 per cent, of the heavy trade vehicles had solid tyres. The cost to the revenue might be £62,000, but the saving in expenditure on roads would be greater.
Colonel Ashley resisted the amendment on the ground of its cost to the Road Fund. It was true that the pneumatic'tyre did less damage to the roads than the solid tyre, but, on the other hand, the pneumatic-tyred vehicle travelled at a greater speed and, therefore, greater extent of road was involved. The difference in the damage done by those two classes of tyre, although substantial, was not so great as Mr. Scurr seemed to think. There were also administrative difficulties. The amendment would add considerably to the duties of the police authorities. Several members supported the amendment, which was ultimately rejected by 240 votes to 97.
A Government amendment was agreed to exempting from duty vehicles used for no purpose other than the haulage of lifeboats and the necessary gear.
Petrol Tax Still Being Considered.
THE Chancellor of the Exchequer, when asked whether he had instituted an inquiry regarding the possibility of substituting a tax on petrol for the present motor taxes, stated that the position remained generally as he had indicated in the Budget statement last year.
Colonel Howard-Bury pointed out that each year more countries adopted the petrol tax, and they had overcome the difficulties that permanent officials here raised in order to prevent the change over from horsepower to petrol.
The Chancellor of the Exchequer remarked that the difficulties which had prevented the adoption of the petrol tax were not raised by permanent officials, who had shown remarkable skill in avoiding those difficulties. They were governed by reasons of general policy, but the matter was still under consideration. Several members thereupon made suggestions to the effect that a committee should be set up, that the incidence of the horse-power tax had materially contributed to the great improvement of the engine power of British cars, that the petrol companies should be consulted as to the possibility of collecting a petrol tax, and that the horse-power tax had cramped the design of ears and allowed the Americans to gain the Australian and Canadian markets. The Chancellor replied that the setting up of a committee would not give any more information than they now had, and that the difficulties of collection of a petrol tax were not insuperable.
The Road Fund Raid.
ALONG debate took place on the clause in the Finance Bill which transfers the reserve of 112,000,000 from the Road Fund to the Exchequer. All the old arguments were heard over again, special prominence being given to the claims of rural authorities for greater assistance in view of the growing burden due to the cost of maintenance of rural roads. The Chancellor of the Exchequer made a statement which was regarded as reassuring by the Conservative agricultural members, who have been pressing him on the matter. His chief argument against departing from the Budget proposals was that the 'transfer of the reserve was preferable to putting 6d. on the income-tax.
He pointed to the fact, as recently announced by the Prime Minister, that the maintenance grants for class 2 roads were being raised from 25 per cent. to 83i per cent, as from April last, which would cost the Road Fund over £500,000 a. year. He anticipated that the balance of the Road Fund at the -end of the last financial year would exceed the £12,000,000, and he did net intend to take more than the £12,000,000. He was prepared to apply the balance to the further relief of scheduled unclassified roads on the basis of 25 per cent, instead of the 20 per cent, with which they started last year.
It was not possible to state at present what the exact amount of the balance would be.
Mr. Churchill made the further statement that it was agreed on all sides that in future emphasis should be laid on the upkeep rather than on major works of new construction. It was not the intention of the Government in any way to make further inroads upon the yield of the motor licence duties in the lifetime of the present Parliament. The increase, whatever It might be, would be devoted continuously to the development of the roads, rural and urban, according to the best possible schemes.
The clause, after a number of amendments had been rejected, was agreed to by 252 votes to 141.
New Regulations for Passenger Vehicles.
MHE Minister of Transport, replying to Mr. Looker, who suggested the limitation of the size and passenger-carrying capacity of heavy motor vehicles carrying more than eight passengers, made the following announcement last Tuesday :--" It is my -intention to make in the near future an Order dealing with the construction of heavy motor cars. I propose to impose for the first time general limitations upon overall length, and in respect of four-wheeled public service passenger vehicles to prescribe limits of laden weight lower than those now permitted for heavy motorcars generally. Seating capacity is indirectly controlled by the limitation of length, width and weight. The proposed Order covers a good deal of ground, and I cannot therefore go into details now, and, must ask my hon, friend to await the issue of the Order."
In further reply, Colonel Ashley agreed that it was desirable to indicate as soon as possible the nature of the regulations, and the Order would be issued without avoidable delay. The Order would affect only new vehicles and not existing vehicles.
Excessive Speeds.
MR. LOOKER, having suggested the introduction of a short Bill to deal with the practice of chars-h-bancs weighing upwards of six tons unladen proceeding with the full complement of passengers at speeds upwards of 40 and 45 miles an hour, was informed by the Minister of Transport that the driving of motor coaches at the speeds referred to was an offence under the existing law, the enforcement of which was a matter for the police.
Roads Advisory Committee. TT is stated that no changes 'have taken place in the membership of the Roads Advisory Committee during the past year. Two meetings have been held during the 12 months.
Co-ordination of Traffic.
MHE London Traffic Advisory Committee are still _I_ engaged in considering the complex question of the co-ordination of London passenger traffic, and the Minister of Transport is not yet in a position to say anything regarding proposals on the subject.
• A New Punishment Suggested.
COLONEL ASHLEY has declined the responsibility of proposing legislation, as suggested by Sir Harry Brittain, to add to the suspension of driving licences and any other punishment for dangerous driving the deprivation of the use of his car by the offending driver for a specified period of time.