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Government accused of failing to invest in roads

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Published: 30-May-2008
Despite the rising cost of petrol pushing fuel tax to a record high only one-quarter of the cash raised is spent on British roads, said a new survey by the RAC Foundation.

The RAC Foundation's analysis showed that the gap between money raised by taxation and the amount spent on roads has risen dramatically since the 1970's by more than 450 per cent.

According to the RAC foundation, the cost of unleaded fuel has risen by 3.4 per cent since the end of April, costing the average British family £106 a month.

Of this, £64 goes straight to the government in the form of duty and VAT, amounting to £45 billion a year – the highest rate in Europe.

Stephen Glaister, director of the RAC Foundation, said: "There is no way for the motoring public to assess what their taxes are buying them and this needs to change.

"The only target developed by government to assess how congestion is changing on the worst parts of our motorway network has not been met, which demonstrates that investing in and planning for new capacity is essential."

Environmental arguments for increased taxation were also condemned by the foundation, which said that motorist more than pay for the carbon costs of driving a vehicle – as well as social and safety costs.
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