England Considers Slapping Green Drivers With Fees And Taxes

One of the results of people going “green” when it comes to driving is that these vehicles use less gas, meaning that there is less tax collected. I discussed this same thing happening in the USA in terms of money lost from the use of hybrid, electric, and fuel efficient vehicles last November. There’s absolutely nothing wrong with going “green” by driving more fuel efficient vehicles. It saves you money. But, it annoys the government, because they receive less tax money, and God forbid they have to learn to do more with less. And now Britain is having serious conversations intent on Doing Something

(Telegraph) The Daily Telegraph has learnt that government officials have begun private discussions with the motoring industry and drivers’ groups about an overhaul of the Vehicle Excise Duty (VED) rules.

The talks come as ministers try to prevent a fall in tax revenues as more motorists choose smaller, cleaner cars that incur a lower rate of duty. Labour has accused the Coalition of planning a “stealth tax” on drivers, effectively punishing them for going green.

Ministers say that while they have not finalised their plans, changes may be necessary to ensure the “sustainability of the public finances”.

One option being considered would replace the annual tax on cars with a one-off up-front charge on new vehicles when they are sold.

It’s not just gas tax fees that are dropping

Annual road tax for cars ranges from zero for those with the lowest CO2 emissions – which include electric and hybrid cars – to more than :£200 for those with larger and less efficient petrol and diesel engines.

VED raises almost :£6 billion a year for the Treasury, but official forecasts show that the revenue from the tax will fall as more people chose to drive low-emission cars.

So, they put in place these “carbon” taxes expecting to nail the citizens and put more money into the government coffers along with making people change their behavior, and are upset when people change their behavior resulting in less taxes.

To make up the shortfall would cost every British motorist about :£20 a year ($30US). Not a whole lot. But, these taxes would seem to be aimed at those with more fuel efficient vehicles. One of the ideas is to simply add a large fee on to the price of purchasing a vehicle. No good deed goes unpunished. And it’s hilarious when government decrees designed to change behavior cause government to freak out over having less money because people actually change their behavior.

Crossed at Pirate’s Cove. Follow me on Twitter @WilliamTeach.

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