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Taxation: Mileage Rates

Lord Trefgarne asked Her Majesty's Government:

When they will review the statutory mileage rates set out in Section 230(2) of the Income Tax (Earnings and Pensions) Act 2003.[HL3817]

Lord Davies of Oldham: The Government consider that the mileage rates are sufficiently high to cover the business motoring expenses of most drivers. The Chancellor announced in Budget 2008 that the Government would maintain the tax-free mileage allowance rates and thresholds at current levels.

Tibet

Lord Hylton asked Her Majesty's Government:

What is their response to the recent recommendations of Amnesty International and Human Rights Watch about this year's events in and around Tibet; and how they are assisting negotiations to resolve the situation there. [HL3797]

The Minister of State, Foreign and Commonwealth Office (Lord Malloch-Brown): We agree that the way to resolve the underlying issues in Tibet is through dialogue between the Chinese Government and the Dalai Lama. Following the recent events in Tibet and surrounding areas, we have, together with EU partners, consistently emphasised to both sides the need for genuine discussions. My right honourable friend the Prime Minister did so most recently when he met the Dalai Lama in London on 23 May. We welcome the recent meeting between Chinese officials and representatives of the Dalai Lama on 4 May as the first step in this process and hope the second round of talks due to take place on 11 June will lead to substantive progress.

We do not believe that a boycott of any part of the Olympic Games would help the situation in Tibet or elsewhere. On the contrary, we firmly believe that it is in our interest to support a successful Olympics in Beijing as part of China's re-engagement with the world. The Dalai Lama himself has made clear that he does not support a call for the boycott of the Olympics.

Transport: Tram Trains

Lord Bradshaw asked Her Majesty's Government:

Why tram trains are being trialled; whether the experience of the use of tram trains in Germany has been taken into account; and whether the feasibility of trialling street running has been taken into account in selecting the Penistone Line for a trial. [HL3789]

Lord Bassam of Brighton: The trial is intended to test the technical and operational feasibility and assess the potential costs and benefits of this type of transport solution in Great Britain. While there are a number of aspirations for tram train deployment in the UK, there are many practical operational, safety

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and technical issues that need to be overcome before agreement to implement this type of technology could be given.

We are studying their potential in partnership with others in the rail industry and this includes looking at tram trains that are currently being used in other

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countries including Germany. The trial will occur in two phases. The first phase will test the application on the conventional rail network only, which in this instance is the Penistone Line. The second phase will test how the tram train operates between the conventional rail network and a street tram system.

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