To build on the opportunity outlined in 1b above the government should consider a variable system of taxation for private motor cars.
Rather than taxation based on a vehicle tax, taxation should be based on the miles traveled and the nature of the journey. For example variable tax rates per mile could be applied with a disproportionately higher tax rate for the initial miles travelled to encourage reduced use of private motor cars for short journeys, which can easily be replaced with walking or cycling. Similarly variable tax rates could be used in different locations with higher rates applying in congested urban areas or areas of outstanding natural beauty.
Government should provide seed capital to develop this idea within the uk tech sector. Combinations of digital payment systems, GPS and other existing technologies can provide a tech solution to be adopted by car manufacturers. Retro fitting would also be possible.
Penalty notices should be incorporated into the system to encourage greater adherence to speed limits (i.e. the payment rate increases further if travelling over the speed limit). In addition to improved road safety the use of more 20mph speed restrictions would enable certain lanes and streets to become areas for primarily leisure and recreation activities by reducing the dominance of the private motor car.
It is noticeable how changes of behaviour can be encouraged through making the user aware of the cost of the activity through ‘real time’ charging. This has been shown through smart meters and the plastic bag tax.
Taxation of fuel reduces the use of private motor cars to some extent but it doesn’t specifically target usage for short journeys which should be replaced by walking/cycling.
Whilst uptake of electric vehicles will reduce emissions, congestion and the dominance of the private motor car in our residential streets and lanes still needs to be addressed.
There is a tremendous opportunity to explore this concept further building on some of the positive changes in behaviours brought about by the pandemic.
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