Abolish Car Tax and put on Fuel
Abolish the fixed annual car tax/Road Fund Licence and replace it with additional fuel duty. This way the people who drive the most pay the most tax.
Why does this matter?
£160 car tax per year, 12000 miles, average useage at 35 miles per gallon would add 10p to a ltr of fuel. Anyone who drives less than 12000 miles pays less, anyone with a more fuel efficient car pays less. Helps the less well off and encourages people to drive fuel efficient cars.
It is also virtually impossible to not pay the tax as to move the car you must have fuel. At the moment you can drive without purchasing a tax disc.
The government can save the cost of administration, which I suspect is significant.
Suggested by andyr and tagged car, car tax, dft, driving, dvla, environment, fuel, hmrc, motoring, petrol, road, tax saving. 1 Comment. Image source
This is a very good idea . It probably should be brought in gradually rather than in one fell swoop.