Select Committee on Environment, Transport and Regional Affairs Appendices to the Minutes of Evidence


Memorandum by Matthews Great Yarmouth (RH 20)

1.  FUEL DUTY AND VEHICLE EXCISE DUTY FOR A 40T GTW (2+3) ARTICULATED VEHICLE AS AT DECEMBER 1999

EU Member State
Fuel Duty
Vehicle
Excise Duty
Total
Austria
£7,653
£1,909
£9,563
Belgium
£7,663
£835
£8,498
Denmark
£8,312
£448
£8,760
Eire
£8,721
£1,242
£9,962
Finland
£8,050
£974
£9,024
France
£10,078
£437
£10,515
Germany
£9,186
£1,671
£10,857
Greece
£6,676
£380
£7,056
Italy
£10,312
£570
£10,882
Luxembourg
£6,680
£322
£7,003
Netherlands
£9,142
£602
£9,744
Portugal
£6,497
£277
£6,774
Spain
£7,130
£295
£7,425
Sweden
£8,133
£1,816
£9,949
United Kingdom
£19,767
£5,750
£25,517

2.  FINES

  It is normal practice for European police when having stopped a UK vehicle for a possible infringement of their transport laws, to impose an "On The Spot" Fine.

  These fines may only be paid in cash and both the vehicle and trailer with goods on board will be impounded until arrangements for the cash to be paid are made.

  No such penalties are imposed on Foreign vehicles who are infringing our transport laws. It has been confirmed that during 1999 in Norfolk and Suffolk a total of 3,000 vehicles were stopped, 500 of which were continental vehicles. Of the 500 vehicles stopped not one was summonsed.

3.  ROAD TOLLS AND VIGNETTE

  In the UK we pay the highest rate of Vehicle Excise Duty in Europe. When our international vehicles enter another country they immediately have to pay a fee, (see attached examples) by way of a daily charge to use the countries roads. In some countries we have to pay a full years road tax applicable to the country we are entering, eg Czechoslovakia and Slovakia, even if we are only in that country for one day. When a foreign vehicle enters the UK no such fee is applicable.

  Once again should the UK wish to adopt a similar policy of charging foreign vehicles to use our roads it would be self financing.

4.  VEHICLE MAINTENANCE

  In the UK vehicles by law must be inspected every six weeks. On the continent vehicles are required to be serviced only twice a year to the manufacturers specification.

5.  VAT

  In Spain, Spanish hauliers are only required to pay 50 per cent of the National rate for their first two years of trading.

6.  ALLOWANCES

  The Capital allowances on vehicles purchased in Holland are increased by 25 per cent if environmentally friendly extras are added eg deflector kits, lighter aluminium wheels etc.

  No such incentives are offered to UK hauliers.

  Certain European countries offer allowances (such as a lower VED rate) for hauliers based in an area of high unemployment.

  No such incentives are offered to UK hauliers.

7.  GENERAL

  Being an East Anglian based International Road haulier, it is upsetting when the road system in this part of the UK is considered to be of lower quality than in countries such as Poland particularly when we compare the level of VED (Road Tax) that we have to pay for each of our fleet of vehicles, to the rate of VED a Polish haulier would pay.

8.  SUGGESTIONS WE WOULD WISH THE COMMITTEE TO CONSIDER

    —  Separate Fuel Duty Rates for Commercial vehicles.

    —  Introduction of a Commercial User Fuel Duty Rebate.

    —  Introduction of a Vignette system for Foreign operators on UK roads.

    —  Increase the VED discount for vehicles meeting the required exhaust emission standards.

    —  Should the maximum lorry weights be increased (as is expected) to 44 tonnes the VED rate should reflect the fact that they pose no greater burden on the road than existing 38 tonne vehicles.

    —  To reintroduce the Limited mileage concession (discontinued in 1994) by amending the definition of a "Works Truck" so as to include their use for the movement of trailers.

    —  To consider the introduction of on the spot fines for foreign based vehicles with police given authority to impound vehicles until fine paid (see Note 2).


 
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