The Government has been criticised for not having a plan on road pricing, more than a year on from the Transport Committee publishing its Road Pricing report. That report called for urgent progress to be made, a stance that the association fully backs.
Published in February 2022, the Road Pricing report warned the Government it risks losing out on tens of billions of tax revenue if it does not explore new forms of road taxation. This shift will come as drivers increasingly opt for electric vehicles which are not subject to Fuel Duty or, until 2025, Vehicle Excise Duty.
The Transport Committee has this week published a formal update, criticising the government for not having a plan and reiterating its call for road pricing plans to be brought forward. The Committee’s latest comments were published earlier this week. It can be found online here.
Last year the Government announced that Vehicle Excise Duty will be levied on electric vehicles from 2025. However, the Committee has noted OBR forecasts that this could only raise £1.6 billion a year by 2027/28.
The issue of road pricing continues to be high on the BVRLA’s radar and remains an issue that will have a fundamental impact on its members. The association is pushing for immediate progress to be made and is engaging with decision makers to ensure that fleet needs are considered in any solutions that are tabled.
