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Reading: Future energy shift could mean an annual loss of £40 billion in taxes
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routeone > News > Future energy shift could mean an annual loss of £40 billion in taxes
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Future energy shift could mean an annual loss of £40 billion in taxes

Sally Walker
Sally Walker
Published: October 16, 2019
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Government wants talks on how road infrastructure will be paid for in a greener future

It’s more than a decade since the (then) Labour government’s road pricing plans were abandoned. Now the Transport Committee wants to start a national debate about road pricing in advance of an inquiry to be formally announced early next year.

The committee plans to invite views from across the country, from drivers and non-drivers, about the future of road-based transport.

If the government keeps its pledge to fully decarbonise road transport within two decades, the £40 billion annual income from Fuel Duty and Vehicle Excise Duty will need to be replaced.

But the government will need to continue to invest in transport infrastructure and prepare the transport network for a new greener future. This has prompted the Transport Committee to encourage the public to begin the discussion now.

Chair of the Transport Committee, Lilian Greenwood MP says: “Parliament declared a climate emergency in May, and local councils have begun to do the same. This requires a serious response, including rethinking how we manage our road network.

“We cannot ignore the looming fiscal black hole. We need to ask how we will pay for roads in the future and in answering that question we have an opportunity for a much wider debate about our use of road space, cutting carbon emissions, tackling congestion, modal shift and how we prioritise active travel.

“This isn’t about pricing drivers off the road; it’s about making sure that as many people as possible have a say in future plans so that we can manage the changes to come. The Transport Committee wants to kickstart this conversation.”

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BySally Walker
Sally is a Senior Journalist on routeone and also contributes to CDC News.
Previous Article NatEx West Midlands slashes its ticket prices
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