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T.U.0 May Demand Cut in Fuel Tax: Renationalization Threatened

18th September 1953
Page 57
Page 57, 18th September 1953 — T.U.0 May Demand Cut in Fuel Tax: Renationalization Threatened
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Which of the following most accurately describes the problem?

THE T.U.C. General Council are to consider approaching the Governgent with a .request to reduce the fuel ax at least to the level which existed efore 1950. At the Trades Union '..onference at Douglas last Friday, a esolution in these terms from the 7ransport and General Workers' Union as remitted to the General Council. The resolution deplored the heavy ourden laid upon the road transport ndustry as a result of the tax on oil nd petrol. It also noted that the resultng high transport charges were not only a great drain upon the travelling oublic, but raised the cost of living by ndirectly increasing the price of food nd all other goods and services.

Mr. A. E. Tiffin said that transport vas a basic industry. " I want to point out that when we are talking about ietroL and oil, 85 per cent, of the motor uel used is for industrial, commercial or professional purposes," he said.

In public transport, fuel tax was epresented by Id. out of every 6d. of iperating costs, and on the goods side iy Lid. out of every 6d. Successive :hancellors, not only Tory but Labour oo, had thought fit to impose a tax on oil fuel which had been mainly esponsible for the increase in freight harges and bus fares.

Mr. Tiffin stressed that his union was Lot seeking an advantage for road translort over rail. Oil fuel was now used in the railways, and in increasing luantity. The railwaymen's union, the rehicle builders, electricians, engineers tad municipal and general unions, as sell as his own, had identified themelves with protests to the Chancellor m the subject of the tax.

Their argument had been: We think t is iniquitous that travel by bus—the loor man's motorcar—should be taxed Ls a luxury. A vast majority of bus

journeys were made for essential purposes, • but during the past three budgets the tax had been raised by over 200-per cent.

" We Wilt Not Pay a Second Time ".

"When we renationalize the industry we must be careful that the terms of the take-over are such that we will not pay a second time for the goodwill we have already purchased at perhaps too generous a price," said Mr. W. J. P. Webber, speaking on behalf of the Transport Salaried Staffs' Association.

He was supporting a resolution tabled by the National Union of Mineworkers Condemning the policy of the Government in handing back road haulage to private industry. The resolution was carried by the Conference, who declared their continued support for the Labour Party's policy to renationalize indus

tries denationalized by the present Government.

Maintaining that transport nationalization was a sound business proposition, Mr. Webber said that in five years it had produced a working surplus of 1£221m. which, but for the demand for icompensation, could have been spent on the industry.

The Road Haulage Executive had done a tremendous job in a short time by consolidating 4,000 separate undertakings into one unit. ' The people I represent in the industry," said Mr. Webber, "were previously almost unorganized. Now, under the R.H.E., we have built up negotiating and eonsultative machinery and given our people a decent opportunity, and in the view of My organization it is a scandalous shame that this should be wrecked. I hope it will not be long before it is put right."


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