Motorists pay for continual stream of expensive mistakes

In the first half of the last century the government’s take from fuel taxes was relatively small as it was confined mainly to business users, with motor car ownership not available to the majority of people.

But, as this situation began to rapidly change the amount of fuel duties and taxes grew into an ever increasing and easy source of quite unbelievable revenue.

Successive governments have gorged themselves on such a bounty and have become so addicted to receiving it they cannot possibly imagine a time when such wealth was absent.

They are so accustomed to receiving this ever increasing and readily available income they have become lazy and impotent in their ability to use taxpayers’ money wisely. Unlike other addictions there is no clinic which can wean them off their dependence for such easy money.

When a decrease in duty of 1p per litre was announced earlier this year, it was made with a joy and enthusiasm normally associated with a huge lottery win, yet its size was completely meaningless. If a decrease in fuel taxes was to be at all meaningful they would need to be halved, a decrease of around 40p per litre, to make fuel under £1 per litre.

Currently fuel duties are usually reported as approximately 80p per litre or 60 per cent of the cost of the selling price of £1.35. But, although this is correct it presents a misleading picture of the government’s actual percentage take as this calculation is based on the selling price which has this colossal tax included.

Without tax the price of petrol is around 55p per litre, so the addition of a further 80p more clearly means that a further 145 per cent has been added in taxes. To reduce these taxes to a “mere” 40p per litre would still mean that governments were adding over 70 per cent in taxes, which is still an obscene amount.

No government in the last 50 years has had the ability to manage the country’s affairs without such treasures, so such a reduction can never happen. It was reported when fuel duties were reduced by the 1p per litre in March that this would cost the treasury £1.5bn, so reducing them by half would equate to £60bn per year.

Governments would no longer be able to rely on the taxes imposed on motorists to pay for and cover up their continual stream of very expensive mistakes. These include the failed NHS computer scheme; the failed fire control centres; the many MoD cock-ups in buying military equipment; hundreds of millions of pounds on unjustified consultancy fees; the cost of our troops in Germany for up to 75 years; useless wind farms; the numerous military engagements we too readily accept; billions of pounds in foreign aid to countries which shouldn’t get it; colossal EU contributions including the farce of moving business to Strasbourg every month; the excessive numbers of MPs, the list is depressingly endless.

But one fact remains constant – without the punitive taxes levied on motorists these could not be made and sensible policies would be required.

Some believe fuel duties should even be increased to deter car use, but, perhaps they don’t realise that many, many people have no choice if they are to remain employed and do not deserve to be severely penalised for going to work or paying for the dubious theories of minority groups.

If governments cannot govern without the benefit of fuel duties; if they cannot manage the books without them, what possible incentive is there for anyone to develop other forms of transport?

Whatever invention was made it wouldn’t, no, it couldn’t be long before this would have to be similarly taxed to make up the treasury shortfall?

What really puzzles me and raises a question I have been unable to answer is “how did Britain ever manage to set a budget before receiving the bonanza of fuel duties?”