More taxes on the way for motorists

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Ministers want to recoup money to pay for £2m worth of environmental schemes to pay for insulation grants, improve the bus service and do more recycling.

Treasury Minister Philip Ozouf has indicated that the measures will be in the Budget, but says that there will be no new charges until after the economy starts to improve.

‘The money was provided from general reserves last year,’ he said.

‘If it is to continue in 2010 there is going to be a commensurate tax-raising measure. The two main tax raising-measures that could be put in place are a mix of fuel duty and vehicle emissions duty.

‘That will only come when economic conditions are such that there is confidence restored in consumer markets.’

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