asked the Secretary of State for Transport when he will be able to give an indication of the outcome of the Government's consideration of the future of vehicle excise duty on cars.
After careful consideration the Government have decided to abolish vehicle excise duty on petrol driven vehicles and replace the lost revenue by increased petrol taxation.The change will be phased. VED will be progressively reduced and petrol taxation progressively increased over a period. The Government aim to complete the change no later than 1983. The timetable will be finally decided after consultations with the car industry, representatives of the staff involved and with other interests.I am publishing today a document which sets out the scope and effects of the decision. Copies have been placed in the Library of the House and the Vote Office.