Amazing that virtually every dlva web page has "threats" about how this that and the other is "illegal" and "against the law" and how much the fines are and how you may be prosecuted etc etc.
A clear case of the law-abiding majority being wagged by the owner of the dog's tail.
I'm all for DIY policy wonking but could you please show your workings as I can't reconcile 0.5p with:
a. yield from VED approx. ?5 billion (see Red Book from Budget 2015) b. yield from increasing duty on petrol and diesel by 1 per cent (approx 0.6 pence per litre) approx. ?250 million (see HMRC's "Direct effects of illustrative tax changes" a.k.a. the Budget ready reckoner)
which I think points to a need for something like 10p per litre. All of course w/o taking any account of behavioural changes. Or of the arguments for a compulsory register of vehicles' keepers.
Like with VAT in the UK. Remember back in 1973? I do. VAT - we were assured - would only be imposed on discretionary "luxury items" and even then at only 8%. See how that list of "luxuries" has gradually expanded to encompass nearly everything and how the 8% has more than doubled.
You may well think so. But the truth is out there; and easy enough to find if you can be bothered to look. DVLA's gross operating costs are around ?m500 a year. That covers driver licensing (including medical services) in GB and vehicle registration as well as VED collection. I could see no breakdown of costs by function from a quick scan but that gross is only about ?14 for each of the 35 million vehicles licensed for use in GB. Or if you prefer a bit under ?16 for each of 32 million holders of a full car licence. Given I assume you are not talking about getting rid of both VED and licences and registration I suggest "100 quid per license holder" is out by around 1 dex.
I did dig the numbers up a little while ago, and it worked out to almost exactly 12p/litre.
Of course, that would hit certain types of user VERY hard (hauliers and transport businesses). Any incentives to those users to minimise the cost increase for them would have to just add to the raise per litre for those who don't quality, and are therefore providing the subsidy.
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