by Holly Tribe
Those who take regular caravan holidays could find themselves out of pocket if proposals on further taxation of motorists are implemented.
In a move which could see petrol prices rocket, Energy Secretary Chris Huhne has suggested ten per cent of government revenue should come from green taxes within the next five years.
This would require increasing the current revenue raised by environmental levies from £35 million to £50 million annually, according to the Daily Telegraph – the equivalent of £800 per tax payer.
Carbon duty
The majority of cash generated from green taxes currently comes from petrol duty, around £26 billion a year. Mr Huhne, who addressed the Liberal Democrat Autumn conference on Monday didn’t specify where the extra revenue would come from, but insiders’ confirmed it was more than likely that a substantial proportion would be funded by ‘carbon duty’ affecting motorists.
The environmental levies would subsidise cuts to income tax paid by earners on lower salaries. But speculators have warned that if the majority of this cash is raised from fuel duty motorists can expect to pay an extra 30p a litre at the pumps, pushing the price above the £1.50 mark.
In defence of the initiative Mr Huhne told the paper: “Green taxes [make] so much sense in the current financial climate, and whatever we do with the revenue, green taxes help us meet our climate targets and our environmental goals.
“Furthermore, all the evidence is that the green tax switch is popular as long as people can see the extra revenue being used to cut other taxes”.
Caravanning: the greener option
However, a rise in petrol prices would penalise motorists and holidaymakers travelling within the UK. Caravanning is proving to be a greener option for holidaymaker and far less damaging to the environment than travelling overseas via short haul flights. Researchers from Lancaster University recently discovered an overnight stay at a caravan park for two produced just 4kg of CO2 compared to half a tonne produced when flying a couple to Spain and back.
Caravanning has provided millions of families with a cost effective way of enjoying vacations and encourages domestic tourism by providing low cost holiday options. Mr Huhne went on to tell the BBC Radio 5 earlier today he would encourage drivers to use electric vehicles, which could be financially subsidised by the government.
Would a rise in petrol prices stop you caravanning as much? Have your say in our forum topic here.
