14 July 2008
The latest tax blunder was exposed last week as the true impact of increases in Vehicle Excise Duty were revealed.Gordon Brown's latest tax blunder was exposed last week as the true impact of increases in Vehicle Excise Duty were revealed.

In June the PM told us that under new green tax measures most drivers will benefit. But the truth apparent from figures released by Conservatives reveals that in 2009/10 only 34% will be better off, whilst 22% pay the same and 44% pay more. This will result in 9.4 million drivers paying more in 2010, with 8.5 million paying the same amount, and just 3.9 million paying less.

These stealth tax rises are not green and will hit millions of families already hard pressed by the rising cost of living. The Government has admitted that the tax take from VED will rise by 100% in the next few years. This means that more than 1 million people earning less than £15,000 will face above inflation rises in VED; on average paying £80 more; equal to two day's take home pay.

Brown faces another stark choice - either he admits he was wrong and executes another embarrassing climb-down; or he stands firm and risks the wrath of rebel Labour MPs. Either way the British people are no longer fooled by his claims of economic competence.

This Prime Minister led us through 10 years of economic growth without saving a penny and now has to tax people where it hurts to have a chance of balancing the books.

Instead of raising road taxes in response to the economic problems we face, Conservatives would implement costed proposals for a Fair Fuel Stabiliser announced last week.