Responding to the Budget today (Wednesday 26 November), Ben
Plowden, Chief Executive of Campaign for Better Transport, said:
“With the end of the fuel duty cut in due course, a new
distance-based electric vehicle charge and freezing rail
fares, this Budget is finally starting to rebalance
transport costs towards more sustainable modes.
“The gradual ending of the 5p fuel duty cut will recoup billions
in lost revenue which can be used to benefit hard-pressed
households and the country, rather than fuel retailers. A
proportionate pay-per-mile charge on electric vehicles will help
restore fairness to transport taxation and avoid a looming budget
black hole as the transition to electric vehicles gathers pace.
It will also help offset the ‘rebound effect' we are seeing
in Norway, where electric vehicle ownership is leading to a
10-20 per cent rise in car trips.
“We are also pleased to see a commitment to fund a number of rail
infrastructure projects, including the Docklands Light Railway
Thamesmead extension, Midlands Rail Hub, Northern Powerhouse
Rail and the Transpennine Route Upgrade. We are however
disappointed to see the Lower Thames Crossing in the list of
transport investment priorities. Whilst we fully accept the need
to meet the transport challenges of southeast England, an
expensive road tunnel is not the way to do it.
“However, the Chancellor missed a huge opportunity to go further
by failing to close the aviation tax loophole which exempts
aviation fuel duty and allows private jet passengers to fly VAT
free.”
Campaign for Better Transport has already welcomed the rail fare
freeze announced on Sunday 23 November.
Ben Plowden said: “We know that cost is the number one concern
for people wanting to travel by train, so it is very welcome that
fares will be frozen next year as we have been calling for. As
well as helping households with the cost of living, this will
enable more people to choose rail, reducing traffic on our roads,
benefitting the economy, helping the environment, and connecting
communities across the country.
“One of the Government's six objectives for the reformed railways
is that they should be affordable. As plans for Great British
Railways gather pace, this is a positive sign that affordability
for passengers is being given the high priority it deserves.”
ENDS
Notes to Editors
- Read Campaign for Better Transport's full Budget Submission.
- The effect of battery-electric vehicle ownership on transport
demand and substitution between modes, Norway has seen a big
‘rebound effect' where electric vehicle ownership
is leading to a 10-20 per cent rise in car trips.
- Electric vehicles are already cheaper to run than petrol cars
and, even with a 3p per mile charge, they will still remain over
£1000 a year cheaper to run [ECIU
analysis].
