Diesel drivers could face a fuel duty tax rise in the Budget while petrol motorists enjoy a cut under plans being considered by Treasury, the Telegraph understands.
A number of options are under consideration, including changes to vehicle excise duty which could hit drivers who already own diesel cars instead of those who buy new models, campaigners have been told.
Philip Hammond wants to be seen as the green Chancellor, sources close to the Treasury said, and he is under pressure from Cabinet colleagues to announce plans to curb dangerous emissions in his Budget later this month.
Michael Gove, the Environment Secretary, is reportedly pushing for extra charges to be levied on anyone who buys a second hand diesel car if they live in an area with high levels of emissions.
This would go further than existing plans to increase the vehicle excise duty on new diesel cars.
The clean air strategy hinted at a new diesel tax and Mr Gove is understood to have requested officials explore options for how such a levy could work. The extra duty would be paid by the new owner when a change in ownership is registered, it is understood.
Another option would be to hike fuel duty for those who drive diesel cars to encourage people away from the technology before a ban on all new models comes into effect.
In a bid to sway public opinion in favour of the controversial decision ministers are understood to be considering plans to cut fuel duty on petrol vehicles at the same time.
The tax has been frozen in successive Budgets because the prospect of increasing it prompts fury among driving groups.
However the Government has made a series of commitments to cut the level of pollution on the UK's roads and Mr Hammond is desperate to plug a black hole in the country's finances, so any rise in tax is likely to be welcomed by the Treasury.
http://bit.ly/2yt7aD9
No comments:
Post a Comment