Road spending a third of motor tax

Barry EvansThe Government takes more than three times more on motoring taxes than is spent on roads, latest official figures show.

In 2010, fuel taxes raised around £27 billion for the Treasury, with about £5 billion coming from vehicle excise duty (VED).
But the figures, from the Department for Transport (DfT), also showed that in 2010/11 just under £5.7 billion was spent on local roads and £3.75 billion was spent on national roads.

The 2010/11 statistics also revealed that £7.6 billion was spent on the railways, and £4.9 billion went to local public transport. Total public spending on transport in the UK, including capital spending by public corporations, was £22.9 billion in 2010/11.

The DfT said VED almost doubled between 1987 and 2010 while the increase in revenue from fuel duty more than tripled.

The department added that, looking at the period 1997 to 2010, the overall cost of motoring (including purchase, petrol and oil and tax and insurance) had risen slowly, although there was a larger increase in 2010, and more slowly than the increase in the cost of living as measured by the retail prices index (RPI).

But when the purchase of a vehicle is removed, motoring running costs have risen faster than the RPI, and public transport fares have risen faster than RPI.

The DfT also published figures for VED evasion for 2011, which showed that about 0.7% of traffic on UK roads (including Northern Ireland) was being driven without a valid tax disc. This equates to about 249,000 vehicles, down from an estimated figure of 307,000 for 2010.

Further department figures showed that while passenger numbers on London buses continue to grow, patronage in the rest of England is falling. The number of bus passenger journeys in Wales and Scotland is on the increase.

Bus passenger journeys in London rose 1.9% in July-September 2011 compared with the same period last year, but total journeys in England fell 0.6%. The July-September 2011 increase in Scotland was 0.3%, while in Wales it was 0.5%.

© 2011 Press Association
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