Sam Coates, Chief Political Correspondent
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Gordon Brown is facing a fresh challenge to his authority after a ministerial aide joined the growing revolt over the rise in car tax.
Rob Marris, the Labour MP for Wolverhampton South West and a parliamentary private secretary in the Northern Ireland Office, urged Alistair Darling to reconsider plans announced in the Budget for big increases in vehicle excise duty on “gas guzzling” cars.
Both Labour and Conservatives are increasingly coming under pressure to review and scrap plans for enviornmental taxes as the credit crunch constricts household budgets, making them much more politically unpalatable.
Mr Marris warned that there was “a significant risk” that car tax could cause anger on the scale of the 10p tax rate abolition.
Although vehicles bought before 2001 are exempt, MPs are concerned that some owners who bought bigger cars in the past, not realising the changes were on the way, could be faced with increases of up to £200.
More than 30 Labour backbenchers have now signed a Commons motion urging ministers to reconsider the proposals before the new rates come into force.
Mr Marris said it was “undesirable” that hikes in VED should be applied to cars as much as seven-years-old. He said he was hoping to meet Mr Darling when Parliament returns next week and would urge him to rethink the changes, which were announced in the Budget but will not come into effect until next year’s Finance Bill.
Mr Marris said: “There are 30 million motorists in the UK. Not all of them will be adversely affected - some of them will gain - but there will be millions of people adversely affected. It is not about changing future behaviour, because of course these cars already exist in the fleet.
“Therefore it is retrospective taxation. I am in favour of prospective green taxes to change people’s decisions when they buy a car, but to tax them heavily on a car when it was bought seven years ago doesn’t seem a good way to go and it will discredit green taxes.”
Earlier Ronnie Campbell, the Labour MP who tabled the motion, warned that the impact of the increases could be similar to scrapping the 10p tax rate, which led to Mr Darling’s £2.7 billion climbdown in an emergency “mini-budget” earlier this month.
“It is unfair [on] people who bought their cars a few years ago not knowing that the Government were going to put this road tax on,” he said.
“When people get their road tax letter through the door next year and find they have got an extra £200 to pay - well, I don’t have to say any more, do I? The motorist is taking the brunt again.”
Mr Campbell, who is due to meet Mr Darling when MPs return to Westminster after this week’s Whitsun break, also called on Mr Darling to drop the planned 2p increase in fuel duty due in October.
He warned that the changes in the duty could hit drivers of ordinary family cars.
The demands represent another headache for Mr Darling and Mr Brown at a time when the Prime Minister is already politically weakened by the debacle over the 10p tax rate and Labour’s disastrous performance in the council elections and the Crewe and Nantwich by-election.
At the same time, the £2.7 billion emergency compensation package for people hit by the abolition of the 10p rate has left the Chancellor virtually no room for manoeuvre with public finances.
Joan Ruddock dismissed suggestions that the increases in vehicle duty had come as a bolt from the blue.
At the same time she said that the Government could not afford to abandon its environmental agenda for tackling climate change.
“I think the direction that we have all been going in has been clear to people for some time,” she said.
“These things are all a matter of balance. What we cannot afford to do is to lose sight of the environmental agenda because this is everybody’s future. This is the future of the planet.
“We have got to have measures - we can be smarter about them - but anybody who suggests that this environmental agenda can go away is talking nonsense.”
A Treasury spokesman said: “For 24 out of the 30 most popular models bought in 2006, drivers will generally pay lower rates of VED than they do now, and from 2010 cars that pollute less than 130g/km will pay no VED.”
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Joan Ruddock approaches the topic with all the concern Marie Antoinette had food shortages.
Stephen Phillips, London, UK,
When will the British government realise that the idea is to make the UK an economic enviroment in which British made goods can compete.All these taxes push up cost of goods
China India & the rest laugh at us taxing ourselves out of the markets while collecting orders that should have been ours!
mark, N;pton, UK
This is a tax to please the greenies! Recently IPCC scientists discovered they had left something out of their model and the next 10 years will be COLDER. Problem I have is what else has been left out? Because the total CO2 is going UP with China and India developing fast.
M. Cawdery, Portadown, Co. UK, EU.
Labour policy as per usual is crawling out of the woodwork. Same as previous Labour governments we have a bunch of usless interfering Big Brother types who have spent the money and now are desperate to raise cash in any way possible. And of course green taxes are the way forward. Rubbish.
Mark Chisholm, Dereham, UK
It must be summertime again, the opposition parties appear to have their 'flip flops' on again. One minute they have an environmental policy, the next they're playing politics and supporting polluting cars. I say, people need to accept that pollution is destroying the earth and the govt is right.
iain barnes, London,
Again i'm sorry but if pollution in the UK is up compared with Europe, then people and drivers should pay more tax. I don't agree that because petrol is expensive that the government has to cut tax. People should buy more fuel effecient cars or hybrids, they arent that expensive. Too many excuses.
harry, Vauxhall, uk
Britain makes virtually no impact on global climate change (a natural process anyway) so these taxes as "green" are nonsensical hogwash. New Labour is skint and trying to foce money out of people's wallets thanks to years of mismanaging the economy. Brown is, and always was, a waste of time.
Ross Liversidge, Ripon, UK
Tax, tax, tax. Can't wait until the next General Election and I get the chance to vote out this useless Government that seem so good at spending my hard earned money.
Angela Taylor, Brighton, England
The system is a joke. I own a late 2000 306 HDI, which would be band C if registered in 2001. As a result I pay £180 tax when I'd be paying £120 if it was registered a few months later. In two years time it will cost me £200 to tax, yet is one of the greenest cars on the road.
Tom, Loughborugh,
typical of an arrogant govt that is out of touch with people. this tax is retrospective (unfair), it's sneaky as it was buried in the budget, reversing the treasury's own promises to exempt cars bough beforew 2006, and the revenue raised will be squandered and not used to improve public transport.
jas, london, uk
Environmental taxes should be scrapped, it's the next best thing to blackmail - which I strongly object to. What is needed is enlightened leadership and REAL active support to change.
Even if suitable electric cars were available I would still have to afford it, and environmental taxes don't help.
T Trudgill, Canterbury, Kent
Road tax used to be that - a tax for providing for new and better roads. That went out long ago, now it's just part of their policy of trying to make it less obvious just how much this (and other) governments take off us to pay civil servants and all the hangers on, and to give them work. Scrap it!
Stuart, Chester,
Tax cars and fuel more, drive less results in fewer obese children, lower numbers of road deaths and gazillions saved to combat climate change. Do it now and use the money saved to go on holidays. And if you live far away from pub transport - perhaps this IS unsustainable living after all.
Fred Caprivi, Manchester,
The enviromental agenda is a New Labour lie. I work in the offshore industry among 15 nationalities. The British are by far the worst off, my colleagues cannot believe the level of taxation and cost of living imposed upon us. The rest of the developed world doesn't care about enviromental issues.
Jeff P, Newport, Wales
The whole thing is a fiasco, how much longer are people going to buy this GREEN tax rubbish. I have a large car but it is a 1999 model I do a very low mileage so how the hell can I be polluting the environment if my car is sat on the drive? Scrap road tax and put it on fuel.
Matt
Matthew Brown, Marlborough, United Kingdom
Yet another own goal in the never ending farce called Nulabour. They really hate us don't they?
Roger, Surrey,
Calamity Brown.... He's supposed to have left the Treasury but no, he dreams up ever more complex schemes that simply make the voting population trust him less and less.
The "Green Card" is abused far too much for ordinary voters.
I voted for Labour 3 times. The last 3. Get out Gordon.
Tom, Bath, UK
I own a car that exceeds the limit and will pay the highest level of charge But given I only do 6000 miles a year do I pollute more than the guy that does 40000 in a greener car? Another tax raising excercise that insults the electorate. Bill me for my mileage, oh you do. Got me all all ways then.
mark, surbiton,
This is not a tax for the environment but a tax on wealth. Socialism the policies of jealousy!! See someone do well for themselves and buy something nice and then tax them until "their pips squeek" Unacceptable Mr Brown and New Labour cronies Leave now and take your environmental codswallop with you
george, north east,
Can someone please tell Joan Ruddock - and any other simplistic eco-enthusiasts - that scrapping an existing car and manufacturing a whole new one is far more damaging than allowing the existing car to continue to run.
This is simply yet another tax under the guise of "saving the planet".
Chris K, Cheltenham, UK
Just like the 10p tax row, the (GORDO) goverment is in denial. 'Of course no one will suffer' they say despite the clear evidence. People are coming to one of two conclusions about this sort of behaviour - it's either incompetence or arrogance. Some will think it is both !
David Nammory, Liverpool,
2006 Mazda 6 five door estate for sale. Road tax at present £207 per year. 30 miles to the gallon on a good day so expect to pay shed loads in fuel tax.
Cromwell, Leeds, England
An extra £200 at the post office counter but £300 before tax thats £6 a week off your earnings to run an old car.Most will just stop taxing them because the fine is cheaper.
paul mitchell, Wolverhampton, England
This is clearly just another stealth tax. Has the government not got the message yet? We are not daft out here Gorden we are hurting with every one of these revenue grabs and the pain might just linger long enough to the next election. Please take note.
Howard White, Driffield,
Scorched earth policy of the dying days of the third Labour Reich
Gary, Bournemouth, UK
The owners of pre-2001 cars are also being hit with rises.
I have a pre-2001 car with a 1700cc engine. Last time, the tax cost £180; next time it will be £185; and the cost will rise to £200.
But with emissions of 132g/km, I would have been better off under the newer system.
Rob, Wirral, UK
In the previous Budget when car tax was increased great play was made of the fact that it was on new cars and people could choose to be Green. That principle lasted about as long as this Got. will.
R James, Clifton, UK
So folk decide they don't want their existing cars anymore and therefore a "new" car has to be produced for them..How green is that?
Richard Philpotts, Stratford-Upon-Avon,
What a debacle for GORDO. Forced to complete another u turn.
The Treasury mandrins have been spewing out the same old rubbish, just ike they did over the 10p tax fiasco.
These people are supposed to be intelligent arn't they
Arn't adults are supposed to foresee the results of their actions
David Nammory, Liverpool,
This is not an environmental tax. It won't change behaviour. It is taxing existing vehicles and makes it harder for poorer people to buy a newer 'greener' car. Just another stealth tax on the middle and poorer classes. When MPs stop using helicopters, planes and cars we might start to believe them.
Donna Walker, Effingham, England
to have to pay extra tax on vehicles bought up to six years ago is immoral.After the battering they have taken in byelections, Crewe and the polls all laour politicians said " the electorate have sent us a message and we will listen to the people" fat chance
j thomas, neath, wales
And so it begins.
The back benchers have siezed control and will run the party till the next election.
As for green tax, Micra up 22%, Hummer up 10%.
Green Tax, no, Stealth Tax, yes.
Dominic, Manchester, England
'This is the future of the planet' is anexcuse to tax us incessantly for no reason. How many readers noticed the change from 'Global Warming' (man made, now defunct) to 'Climate Change' (natural and cyclic).
How are ANY green taxes on essential use going to help anyone except the Chancellor.
dave kinsley, derby, uk
As with the flight tax this is nothing to do with saving the planet. 600 miles in a car with low tax produces the same polution as that same car with high taxes. Just another stealth in disguise. Fairer way is to ration fuel and gradually reduce ration each year. cut down on fuel burned,ONLY WAY.
William Reginald Swithin, Blackwood, Wales
when will they realise its the poor who suffer not people who can afford a gas guzzling car .The poor cant afford a new car from the show court to put with the seven other 15.000 ,plus cars in there big houses is it , so stop saying its to stop this when it dosn't
sarah, yorkshire, a
It appears time for Gordon to step down. He has been there too long and the country is sick of him.
Mark, UK, UK
At least with the showroom tax people have time to make an informed choice as to what car they buy, with the road tax being worked back to 2001 people like myself have been denied that choice, in feb i changed my car for one that is more economical and greener but ended up paying more road tax.
R Daniels, BLYTH,
Paid road tax for 6 mths just so it is due again before april in order to delay effect of new rates, it doubles the paper work at DVLA, they have to produce notices every 6 mths not 12, how green is that, a friend is putting his car on sorn in january, re-taxing in march to pay at old rate.
R Daniels, BLYTH,