‘No viable alternative’ to road charging as drivers switch to electric cars – MPs

However, committee chair Huw Merriman said there would have to be discussions between the UK and Scottish Governments over any UK-wide scheme because while roads were returned to Holyrood, control of motoring taxes remained at Westminster.

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Scottish ministers have called for such taxes to be returned too.

Road charging will be considered by the Scottish Government to help meet its traffic reduction target. Picture: Steven Scott Taylor

A report by the committee said the UK Government must urgently develop a new motoring tax to address the decline in revenue as drivers switched to electric cars because there was likely to be “zero revenue” from existing motoring taxation by 2040.

The sale of new petrol and diesel cars and vans will be banned in the UK from 2030, with the fuel duty and vehicle excise duty from such vehicles – based on emissions – raising around £35 billion a year.

Neither tax is levied on pure electric vehicles.

The report said it has not been seen as a “viable alternative” to a road pricing system which used technology to track the movement of vehicles and charges drivers based on distance travelled.

Such a scheme could factor in the type of vehicle and congestion, and support vulnerable groups such as those with mobility issues, and people in remote areas.

However, the committee stressed that drivers should pay “the same or less” than as under current taxes.

Mr Merriman said of the need for cross-border discussions on the issue: “The Scottish Government may regard that they should own this because it’s roads, whereas the UK Government may say they own it because it’s all about taxes, so there needs to be a conversation with the returned nations as to how this can be brought about.”

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A spokesperson for the Scottish Government’s Transport Scotland agency said: “This report underlines the unfairness and unviability of the status quo.

“We welcome the committee’s recognition that urgent action from the UK Government is needed, including structural reform to motoring taxes that the UK Government itself acknowledged is inevitable and required in their recent net zero review.

“We recognize a new policy direction is needed to address the decline of fuel duty and vehicle excise duty – which are reserved to the UK Government – both in the current environment and looking to the future when we have the powers to design and deliver fiscal solutions that best meet Scotland’s needs and interests.”

Scotland’s leading transport academic, Professor Iain Docherty of the University of Stirling, said the report was “extremely welcome, and government action is long overdue.

“Given Scotland has about a third of the land mass of Britain, there needs to be scope to ensure any scheme is returned or at the very least appropriate for the very large and sparsely populated rural areas we have.

“Rolling out electric vehicles quickly and moving to a charging regime that recognizes Scotland’s geography is a key quid pro quo to the major public transport investment planned for the cities.”

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George Holan

George Holan is chief editor at Plainsmen Post and has articles published in many notable publications in the last decade.

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