Action Briefing
Apr 2004 - May 2004


The Newsletter of
Birmingham Friends of the Earth

Gordon's Dream Budget 2004

“Mr Speaker, as you know the Government has promised to put environmental issues at the heart of policy, to tackle global warming and reduce pollution.

"The cost of climate change emissions from flying has been estimated at £1.4 billion per year, though the real figure may be much higher. Air Passenger Duty currently raises £800m and by increasing it by £5 for every flight leaving the UK, I will raise an extra £400m for investment in high-speed rail, bus networks and safe routes to school as well as encourage the public to consider more environmentally friendly forms of travel.

"Road transport is a major source of carbon dioxide emissions, the main gas causing climate change. By increasing the tax disc to £500 on the most polluting cars I am giving drivers a clear incentive to purchase more efficient models. Recent Government
research shows that this will prompt 72 per cent of car buyers to choose a vehicle with lower emissions. Vehicles used for work will remain in a lower tax band.

"Mr Speaker, I will increase road fuel duty by 3-5 % per year, keeping the real price of motoring constant over the next 10 years, thereby not only reducing congestion and air pollution, and slowing the rise in carbon dioxide emissions, but raising up to £30.2 billion over the next decade.

"In place of the failing voluntary initiative to reduce pesticide use I will introduce a banded tax on pesticides to fund a free independent sustainable farming advisory service and research into non-chemical means of pest and disease control.

"Finally Mr Speaker, I will introduce subsidies for recycling, and remove them from incineration, which from now on will be taxed fairly to reflect its environmental impact. These measures, as well as helping to fulfil our environmental commitments, represent a radical alternative to indiscriminate taxation on employers and individuals, and I commend this Budget to the House!"

James Botham


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