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1TA calls on the thancellor to peg diesel duty
Page 13
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by Mike Gordon be Freight Transport Association has called on the Chancellor to :within his freeze on diesel duty. In its submission prior to the orthcoming Budget the association says that despite falling oil irices and a reduction in vehicle excise duty, UK road hauliers ;till pay more tax than any of their EU competitors. On top of hat, it points out, wage awards in 2001 rose by 3.6% and vehicle nsurance costs rose by 12%, The ETA suggests that all future plans for long-term road iser taxation should look carefully at the balance between the iperation of commercial vehicles and private cars. It wants the ;hancellor to consider an interim arrangement for taxing for?.ign trucks operating on UK roads.
ETA chief executive Richard Turner says: "Any restructuring 1 taxation and charges must ensure that lorries are not priced )ff the country's motorways and trunk road systems—places Nhere such vehicles should be, if at all possible."
In response to the Treasury's consultation paper, Modernising the Taxation of the Haulage industry, ETA chief economist Simon Chapman adds: "A distance-based charge most closely meets the FTA's objectives that freight taxes better reflect the costs that individual truck journeys Impose on the network and brings UK tax levels in line with those on the Continent."