(11 years, 1 month ago)
Commons ChamberI will come to that in a moment, but we must make it clear that APD started off as a green tax and that it is still regarded by many as a tax that is meant to cut down emissions from the aviation industry. Like many other taxes that started off as green taxes, it is highly damaging to the economy.
Given the hon. Gentleman’s views, I expect that I will agree with most of what he says, but he is wrong on that point. I went back to Hansard and checked what the Government said at the time of the introduction of APD. It was not introduced as a green tax. It has been stolen by the green movement, but it was introduced because the right hon. and learned Member for Rushcliffe (Mr Clarke), who was Chancellor of the Exchequer at the time, thought that aviation was under-taxed, even though that was not the case. I agree with most of the hon. Gentleman’s points, but the tax was not introduced as a green tax.
I am not going to go back into the history of Hansard to dispute that point. However, whether the tax has been hijacked, or whether it was originally intended to be a green tax, it is still cited today as one of those taxes that we need to hold on to if we are to cut our carbon emissions.
There is, of course, general concern about electricity prices, the cost of air travel and a whole range of issues affecting the UK economy. The previous Government were, of course, the same on green issues as the present Government, but the zeal of UK Governments to deal with such issues is not found in other parts of the world or of Europe, and that places us at a disadvantage. We have to stop this King Canute attitude to climate change whereby the UK Government think that they can somehow use fiscal powers to affect what is happening to the climate across the world, although they are damaging our own economy at the same time.