Source · Select Committees · Transport Committee
Fourth Report - Road pricing
Transport Committee
HC 789
Published 4 February 2022
Government response
Third Special Report - Road Pricing: Government Response to the Committee’s Fourth Report of Session 2021–22 · published 6 Mar 2023
Recommendations & Conclusions
1
Conclusion
Accepted
Para 7
Fuel duty and vehicle excise duty raise some £35 billion a year.
Conclusion
Fuel duty and vehicle excise duty raise some £35 billion a year. Approximately 20% of that revenue is disbursed on maintaining and developing the roads. Neither fuel duty nor vehicle excise duty are currently levied on electric vehicles. The Government …
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Government Response Summary
The government states that it will ensure the tax system encourages EV uptake, revenue from motoring taxes keep pace, and that electric cars, vans, and motorcycles will pay Vehicle Excise Duty from 2025.
Department for Transport
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2
Recommendation
Accepted
Para 8
The Government must start an honest conversation with the public on the funding implications for...
Recommendation
The Government must start an honest conversation with the public on the funding implications for road development and maintenance and for other essential public services of decreased revenue from vehicle excise duty and fuel duty.
Government Response Summary
The government states that it will ensure the tax system encourages EV uptake, revenue from motoring taxes keep pace, and that electric cars, vans, and motorcycles will pay Vehicle Excise Duty from 2025.
Department for Transport
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4
Conclusion
Accepted
Para 14
Zero fuel duty and vehicle excise duty help motorists to offset the higher purchase price...
Conclusion
Zero fuel duty and vehicle excise duty help motorists to offset the higher purchase price of electric vehicles compared with petrol and diesel alternatives. Those prices are predicted to decrease as sales of new and second-hand electric vehicles increase. As …
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Government Response Summary
The government states that it will ensure the tax system encourages EV uptake, revenue from motoring taxes keep pace, and that electric cars, vans, and motorcycles will pay Vehicle Excise Duty from 2025.
Department for Transport
View Details →