Baroness Bennett of Manor Castle
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Baroness Bennett of Manor Castle (GP)
My Lords, my question is about the accuracy of the Statement. I hope the Minister will be able to reassure me that it is accurate. I refer to the third page, under the headline “Major road network”, and the Government explaining
“why we extended the temporary cut in fuel duty at the last Budget”.
That temporary cut has been going on since 2011, since when the fuel duty level has been frozen at or below 2010 rates. This has cost the public purse £130 billion thus far and, if it is not temporary and is to continue until 2030, will cost £200 billion. Of the beneficiaries of that, the top quintile by income gets 24% of the benefit—that is all those Chelsea tractors—while the poorest quintile gets only 10% of the benefit. Some of this money might, for example, be spent on at least keeping the £3 bus fare or going back to £2 bus fares. Can the Minister assure me that this is only, in the Government’s mind, a temporary cut in fuel duty?
Lord Hendy of Richmond Hill (Lab)
I am sure the noble Baroness will know the answer to that. As I said at Questions, taxation is a matter for His Majesty’s Treasury. The Chancellor will determine taxation policy from time to time.