Hello Ann,
I agree with the idea of abolishing road tax in favour of 'pay as go' To a large extent we already do because of the duty on road fuel, so the mechanism is already there. Whilst it would be nice to think that road fund tax was exclusively used to improve the roads, In practice all money collected by the exchequer is put into one big pot and distributed how the government of the day sees fit.
If road fund tax were abolished and to achieve roughly the same revenue from the average motorist we would need to have an increase of about 10p per litre.
I do think that using fuel to collect road fund tax makes a lot of sense, mainly because no one can easily avoid paying it!- even visiting foreign motorists.
It has other proportional benefits as well:
basically the more fuel you use the more you pay, You will use more fuel when:
You dive further,
You have a thirsty vehicle
You tow a trailer
you drive harder and faster
Conversely, those who choose to be frugal will pay proportionally less. It all seems very fair.
The DVLA would still have a role to play in keeping the vehicle registrations, but the effort they currently use in chasing tax dodgers could be put to better use in chasing MOT & insurance dodgers. This would help to improve the general safety of road vehicles.
I suspect that successive have chosen not to pursue this eminently sensible proposal because, they can raise a lot of different taxes by a little more easily than a little by a lot.