THE ASSOCIATION OF BRITISH DRIVERS
IN SCOTLAND
TRANSPORT SPENDING
It's ironic that the Scottish Executive won't commit to a bypass in the oil capital. Taxes from refined oil products (e.g. petrol and diesel) represent a large chunk of the huge profits made on the back of motoring by HM Treasury. The bypass would be a real solution to improving traffic flow as Aberdeen grows.
Meanwhile, within three years, the Scottish Executive intends to squander 70% of their paltry £1bn transport budget on public transport.
I think it's time for a reality check.
HM Treasury figures for the financial year 2001-2002 show £21.9bn was received in fuel duty and £4.4bn in vehicle excise duty. VAT is also charged on the fuel duty (representing tax on a tax!) as well as the untaxed cost of the fuel adding around £5bn to motoring costs. Around £31bn for HM Treasury then - and that's just the start.
Consider all the services the motorist uses - many of these will generate yet more VAT for the government. The profits on these services will be taxed, as will the employees that are involved in every aspect of the motor industry, which contributes significantly to the UK economy. Oh and let's not forget other motoring stealth taxes, such as 5% insurance premium tax.
So there you have it - almost incalculable billions flow into Treasury coffers each year, thanks to motorists.
Private vehicles offer huge personal freedom and transport on demand. Our government and non-drivers benefit from the tax motorists pay, while motorists are thrown 'crumbs from the table' and expected to be grateful.
Contrast this situation with public transport. The public purse heavily subsidises the service providers. Public transport companies also receive large fuel duty rebates. As a financial proposition and transport alternative, public transport is grossly inefficient.
Who pays, at least in part, for this fiscal inefficiency? The motorist.
If the discrimination suffered by motorists were inflicted on other groups in our society, it would never be tolerated.
Simon Tonks
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