One comment on “Timmy Elsewhere

  1. Tim,

    You make a good point.

    However, simply subtracting the E125M M motorists pay in taxes from the E200m road infrastructure ‘subsidy’ is also a dodgy use of statistics.

    Some of that tax will be VAT – which is payable on everything and not specifically transport-related. The report also makes clear that it has not included a very large figure (E650M overall) for external costs generated by transport (including road) users as part of its assessment of the subsidy figure.

    Also, you don’t take into account that the government should be trying to get an economic return on the asset value of road infrastructure and returning this to the owners (the taxpayers) either directly or in terms of reduced general taxes. If you don’t do this, the little old lady who never drives (but who owns the roads as much as anyone else) is effectively subsidising the 50,000 mile p.a. driver.

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