Fleet News

Fuel taxation is not enough to achieve environmental objectives, says Strang

HIGHER road fuel taxes offer the most cost-effective way of reducing carbon dioxide emissions, but increasing fuel taxation by itself will not be sufficient to achieve the Government's environmental objectives, according to Transport Minister Gavin Strang. He was responding to a letter from Jim Sowler, managing director of Southport-based worldwide animal feed supplier Tithebarn, which operates an 80-strong multi-badge fleet of diesel cars with vehicles averaging around 30,000 miles.

He wrote to Strang asking for assurances that company cars, which were essential to Tithebarn's business, were not taxed off the road. Sowler was writing after Strang pledged that while company cars were safe in the Labour Government's hands, changes to company car tax could be expected in next spring's Budget.

In his two-page letter Strang concentrated on outlining the Government's fuel strategy and the reasons behind its integrated transport policy consultation document which will lead to a transport white paper being published next spring. Sowler said: 'He rather ignored the point about company car taxation, but at least he replied.'

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