Pay As You Drive?

This is the place for posts that don't fit into any other category.

Moderator: RichardW

User avatar
myglaren
Forum Admin Team
Posts: 20172
Joined: 02 Mar 2008, 14:30
x 1625

Pay As You Drive?

Post by myglaren »

This is precisely what I have thought for years.

The Register
addo
Sara Watson's Stalker
Posts: 7098
Joined: 19 Aug 2008, 12:38
x 4

Post by addo »

I know what would happen here - it'd be introduced as a money saver and insurers would up their prices to hoover up any savings by the motorist in the first year or two. :? Then usage rates would go up steadily, resulting in people paying more for both insurance and road use.
citronut
Posts: 10937
Joined: 29 Apr 2005, 00:46
x 3

Post by citronut »

then driveing would become a sport for the wealthy againg, just like liveing is with ever increasing price's for everything,

as it used to be back in the 20ty's and 30ty's,

and this all in the name of saveing the plannet,

more like filling someone's pockets,

regards malcolm
KP
Posts: 3980
Joined: 10 Jul 2006, 12:11
x 7

Post by KP »

I would quite honestly install a pay as you go tracker and reported in my car if they removed the VED and fuel tax i had to pay on the vehicles in my house.

If they go through the toll route and just make motorways and major a roads tollboothed and setup an auto payment system like so many other countries do then this could easily be achievable and fuel could again come back under £1 a litre and VED disappear. This would be good for me as it would mean the C6 i hanker after would be more affordable for me :)

To be honest the fuel price would come down a fair bit if the gov forced the fuel companies that get crude out of UK resources to put its price in £ instead of $ and not do the stupid conversion stuff thus making the companies less profit without actually doing any work as when the £ is weaker against the $ the oil companies make more profit without lifting a finger...
Julz
Posts: 76
Joined: 09 Mar 2010, 13:28

Post by Julz »

As I do over 30k mls/yr mainly on motorways I'm concerned about how this will work.
When this was first sugested 3-4 yrs ago there were several proposed options suggested. One suggested £1/ml for congested motorways and meant I would be paying £25k just to get to work. Another better thought out scheme where the charge was linked to time of day on certain roads meant I could potentially save £1000 on my current costs, by leaving home 1/2hr earlier in the morning.
Judging by this governments preference for poorly thought out quick-fix decisions I can guess which option they favour.
rory_perrett
Posts: 715
Joined: 05 Nov 2001, 20:18
x 1

Post by rory_perrett »

VED will be replaced by a registration fee/ administration fee as government need to keep tabs on car ownership. No need for it to be annual, only everytime the details or owner change but given the approach to SORN they would feel the need to make it annual. Perhaps £30 - £50 to start with but I'm sure it would end up at around £100 fairly quickly.

Petrol tax is efficient and effective to collect, the petrol/oil companies do all the work collecting the dosh and handing it over. I bet the promise will be that the move to pay as you go will be revenue neutral by that they mean the government won't take anymore income (in the first instance) - but who is going to pay the cost of setting up the infrastructure and the cost of collecting from 30million + registered vehicles rather tha a few oil companies/ retailers. Who's going to pay for chasing non payers and correcting the errors etc etc.

And they are worried that VAT is a regressive tax.
red_dwarfers
Donor 2020
Posts: 2501
Joined: 29 May 2008, 15:59
x 19

Post by red_dwarfers »

I don't mind the idea of a toll driving system on motorways and select A roads as long as it is only in effect at times where congestion is a problem and this is linked to a saving elsewhere.

Of course what's going to happen is that if an incentive isn't brought it to keep the costs cheaper is that the smaller roads will get very busy, more accidents may happen only the statistically more dangerous roads and insurance prices will increase even more!
Sid_the_Squid
Posts: 590
Joined: 21 Apr 2009, 15:35

Post by Sid_the_Squid »

I don't completely disagree with the idea of a "pay as you drive system", but I would strongly object to a black box in my car reporting my exact whereabouts to a central database.
I do share the reserved cynicism towards this idea that others have already expressed.
User avatar
Xaccers
Posts: 7653
Joined: 08 Feb 2007, 00:46
x 5

Post by Xaccers »

Just whack up fuel duty and ditch the tax disc (his says running on SVO) ;)
User avatar
myglaren
Forum Admin Team
Posts: 20172
Joined: 02 Mar 2008, 14:30
x 1625

Post by myglaren »

Xac wrote:Just whack up fuel duty and ditch the tax disc (his says running on SVO) ;)
That would certainly be an acceptable alternative. Just the administration of tax discs must cost a fortune - needlessly.

As far as SVO/WVO goes, it is an insignificant proportion of road users that use it and any revenue losses are negligible - not worth pursuing.
Homer
Posts: 1503
Joined: 26 Feb 2003, 11:52
x 14

Post by Homer »

Sid_the_Squid wrote:I don't completely disagree with the idea of a "pay as you drive system",
We already have one, it's called fuel duty.

It's a great system, requires minimal administration, is not prone to computer error and doesn't require an expensive piece of technology installing in every car.
User avatar
Xaccers
Posts: 7653
Joined: 08 Feb 2007, 00:46
x 5

Post by Xaccers »

myglaren wrote:
Xac wrote:Just whack up fuel duty and ditch the tax disc (his says running on SVO) ;)
That would certainly be an acceptable alternative. Just the administration of tax discs must cost a fortune - needlessly.

As far as SVO/WVO goes, it is an insignificant proportion of road users that use it and any revenue losses are negligible - not worth pursuing.
Seeing as with the ANPR systems they can tell if you're taxed or not, I've never understood why they haven't gone to a pay monthly tax disc.
Surely finding £20 a month is a lot easier than £100/200 etc in one lump sum?
So you'd have fewer people driving without tax.
Instead of a tax disc reminder, you'd get a MoT reminder.
No need to waste money sending out reminders for cars under 3 years.
addo
Sara Watson's Stalker
Posts: 7098
Joined: 19 Aug 2008, 12:38
x 4

Post by addo »

You could argue that forgetting £20 one month is easier than forgetting £100 once a year. Then you have a spike in driving offences, possibly leaving the hard-up with unpayable fines.

The net result of draconian penalties here, has been a dramatic rise in numbers of people losing their licences for cumulative offences that started with an oversight or genuine forgetfulness and simply compounded. Many (yes, many!) end up with criminal convictions and either community service or jail time.

This is not a moralistic comment, it's an observation of one outcome when you push costs and timing to a knife-edge.
User avatar
Xaccers
Posts: 7653
Joined: 08 Feb 2007, 00:46
x 5

Post by Xaccers »

addo wrote:You could argue that forgetting £20 one month is easier than forgetting £100 once a year.
Sorry I forgot to mention monthly would be by direct debit.
KP
Posts: 3980
Joined: 10 Jul 2006, 12:11
x 7

Post by KP »

it won't be long before we have our own great firewall of the UK and start to look more like Aus, Adam :(

The reason they want to keep tax discs as its the only time that MOT's and Insurance are forcibly checked, though in my eyes these checks are pointless with the current MOT and MID database's.