Finance Bill

I echo what the hon. Member for Carmarthen, East and Dinefwr (Adam Price) said about the importance of green taxes not losing their credibility because they are being abused. The Government need to look again at the VED argument, and I hope that they will use this debate as an opportunity to respond to the concerns that have been expressed across the House. My hon. Friend the Member for Argyll and Bute (Mr. Reid) asked the hon. Member for Carmarthen, East and Dinefwr what the effect of his regulator would be in relation to a 5p rise. My hon. Friend has worked out that the provision would result in a reduction of 1p. A far more important measure for the haulage industry would be an essential-user rebate, which would create a level playing field with the rest of Europe. The hauliers who have been lobbying Parliament are here listening to this debate. Will the Exchequer Secretary tell us how the Government view their ability to achieve a level playing field with the rest of Europe on haulage costs and, in particular, whether they would welcome the introduction of an essential-user rebate as a more targeted way of tackling the industry's concerns? My hon. Friend the Member for Caithness, Sutherland and Easter Ross (John Thurso) made an excellent case for new clause 14. I, too, strongly support the new clause because it attempts to address in a targeted way the problems of people in rural areas by recognising that they do not have a choice and that they have to use their cars. My hon. Friend made the excellent point that there would be no cross-border issues because the measure would create a level playing field. What would be the point of crossing the border if that were the case? My hon. Friend also made a good point about working off-road vehicles, and the attempts to reach a compromise regarding the concerns involved. In a rural area, it makes no sense for the farmer, ski centre or forester to own two vehicles. They need to own a 4x4 off-road vehicle primarily for business use, but rather than increasing environmental costs by owning a second vehicle, they should use the same vehicle when they need it for personal use. I very much hope that new clause 14 will gain wide support across the House. It takes forward a constructive way of tackling a matter of rural concern. I hope that the Exchequer Secretary will address the concerns of hauliers and clarify the Government's view on having an essential-user rebate as a means of levelling the playing field with Europe. One of the hauliers I met earlier told me that his margin used to be 6 to 7 per cent., but that it is now down to 1.7 per cent. He said that if things carry on in the same way for much longer, there will be no margin at all. In that case, he will not be in business and essential transport in Scotland will be damaged. I repeat my hope that the Government will look sympathetically on new clause 14.