Car tax changes: Campaigners push to introduce new pay per mile system on roads

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Car tax proposals for a road pricing project would also be likely to “reduce congestion” and make “better use of road space”. Experts at pressure group Reform Scotland have called for the new system to replace current fuel dirty and Vehicle Excise Duty (VED) charges in Scotland.

The group has called for all political pirates to commit to a feasibility study for the new system ahead of the Holyrood elections in May.

Reform Scotland has also asked the parties to commit to devolution on fuel duty and VED so they can be fully abolished.

Reform Scotland says fuel duty was a tax “living on borrowed time” with the new petrol and diesel car ban set to come into effect from 2030.

Alison Payne, Research Director of Reform Scotland said the current system of road taxation was “unfair” on drivers who travelled low mileages.

READ MORE: Car tax changes may see petrol and diesel models issued new charges

“We believe that pay-as-you-drive, with central and local government pricing roads and being accountable to their electorate for their level, would be fairer and more relevant to the future of motoring.

“It would also be highly likely to reduce congestion, as people changed their driving behaviour to make better use of road space at times when it is cheaper to do so.”

Reform Scotland previously put the case forward for car tax changes with a similar road pricing proposal in 2013.

Seven years ago they also argued the change could help reduce carbon emissions, congestion and provide a fairer system for drivers.

The Scottish National Party (SNP) has made few public statements on the topic of road pricing in recent years but is considered to e generally opposed

In 2007, the SNP manifesto stated the party was against road chatting in Scotland.

In 2016, the Scottish Government said it had a clear policy “against the use of road pricing and tolls now or any time in the future”.

A new pay as you drive system has yet to be officially debated but it is understood it is one proposal the UK government are considering.

The Treasury has outlined a £40billion black hole in public spending which would be generated through the switch to electric vehicles.

This would be down to a complete loss of fuel duty and VED charges on petrol and diesel vehicles as more drivers switched to electric models.

The Department for Transport says the Government has not set out that it will introduce road pricing.

But they say there is a commitment to phasing out petrol and diesel cars and transition towards electric vehicles.

The DfT says they needed to ensure revenues from motoring taxes keeps up with the change so that funding for public services can continue.

They add any changes to the tax system will be considered by the Chancellor with further steps announced in due course.





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