Darling 'plans gas guzzlers tax' - News in brief - Evening Standard
       

Darling 'plans gas guzzlers tax'

Chancellor Alistair Darling is planning to introduce a "purchase tax" of up to £2,000 on the most polluting vehicles, it has been claimed.

The idea is set out in a leaked Treasury paper ahead of Mr Darling's forthcoming Pre-Budget Report, according to The Sunday Times.

As well as the one-off charge at the point of purchase, so-called gas guzzlers would also be subject to higher road tax.

More fuel-efficient cars would be eligible for a £2,000 rebate, under the proposals.

Officials apparently acknowledge in the leaked document that the measures would be "presentationally difficult" but argue that they would also "strengthen the environmental signal".

The proposals bear a remarkable similarity to those contained in the Tories' Quality Of Life policy report, which was unveiled by David Cameron this week.

Under the Tory plans - none of which have yet been formally incorporated into party policy - there would be a new purchase tax on cars of up to 10% depending on emissions.

There would also be a sliding VAT scale between 5% and 17.5% and a new top band of vehicle excise duty of £500 - with the owners of "super-polluters" paying the most.

The Treasury declined to comment on the Sunday Times claims, a spokeswoman saying: "We never comment on leaks."

News in brief in Pictures

Don't Miss
TV Baftas - in pictures

Best of the Baftas

Stars on the red, white and blue carpet
What makes Chelsea and Arsenal target Eden Hazard tick?

Hazard warning

What makes Chelsea and Arsenal target Eden Hazard tick?
You big softie: Has Giles Coren put down his poison pen?

You big softie

Has Giles Coren put down his poison pen?
Pop star Paloma Faith, former Labour minister and Tory blogger back gay marriage video

Gay marriage

Pop star, former Labour minister and Tory blogger back gay marriage video
Promethipedia: the lowdown on Ridley Scott's new blockbuster Prometheus

Promethipedia

The lowdown on Ridley Scott's new blockbuster Prometheus
Prints charming: patterned trousers for summer

Prints charming

Patterned trousers for summer
Bob Geldof on grandchildren, activism and the state of music

Grandpa Bob

Bob Geldof on grandchildren, activism and the state of music
The Middletan: Kate Middleton has the most requested tan in London

The Middletan

Kate Middleton has the most requested tan in London
Amy Childs bares all like Britney

Dare to bare

Amy Childs vajazzles like Britney
Trip the bright fantastic - in vertiginous neon

Fashion

Trip the bright fantastic - in vertiginous neon