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Fury over special category VED hikes

8th December 1994
Page 6
Page 6, 8th December 1994 — Fury over special category VED hikes
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Which of the following most accurately describes the problem?

• A "furious and flabbergasted" Freight Transport Association is demanding that proposed increases in Vehicle Excise Duty for special category vehicles are scrapped or reduced.

The Department of Transport estimates operators of some 220,000 vehicles could pay up to £5,000 more VED from next July.

The FTA says construction companies, local authorities and public utilities will be hardest hit: it will meet DOT officials to discuss the matter.

Special category vehicles, such as those involved in road construction, street cleansing and street lighting are not taxed at present. Under Budget proposals they will be taxed as goods vehicles according to their weight.

The FTA estimates that the new VED rates could push up annual standing costs of such vehicles by almost 50%. Richard Turner, FTA policy director, says the proposals came out of the blue.

"Although we have continuous contact with the DOT, we were not given the opportunity to discuss the size, extent or justification for the new rates," he says.

"We are furious that some of our members will be subjected to high and unjustified VED rates on vehicles which seldom move on the public highway".

Six miles a week vehicles

Tower wagons Street cleansing Street lighting

Restricted HGVs


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