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Miliband draws up green tax plan | Miliband draws up green tax plan |
(4 days later) | |
Environment Secretary David Miliband has confirmed the government is holding discussions on tackling climate change using green taxes. | Environment Secretary David Miliband has confirmed the government is holding discussions on tackling climate change using green taxes. |
But he would not comment on the accuracy of a leaked letter, which suggested plans for "pay-as-you-drive" taxes and taxes on cheap flights. | But he would not comment on the accuracy of a leaked letter, which suggested plans for "pay-as-you-drive" taxes and taxes on cheap flights. |
He said the motive was to "get to grips with this global climate challenge". | He said the motive was to "get to grips with this global climate challenge". |
Meanwhile Conservative leader David Cameron has told the BBC he would be prepared to tax air travel. | Meanwhile Conservative leader David Cameron has told the BBC he would be prepared to tax air travel. |
Liberal Democrat leader Sir Menzies Campbell said "hard choices" had to be made to combat climate change. | Liberal Democrat leader Sir Menzies Campbell said "hard choices" had to be made to combat climate change. |
The comments came ahead of a report by economist Nicholas Stern, published on Monday, warning that climate change may cut global annual economic output by up to 20%. | The comments came ahead of a report by economist Nicholas Stern, published on Monday, warning that climate change may cut global annual economic output by up to 20%. |
Have Your Say Another tax from the Labour government - well there's a surprise. Steve Atty, Cheltenham Send us your comments | Have Your Say Another tax from the Labour government - well there's a surprise. Steve Atty, Cheltenham Send us your comments |
Mr Miliband told the BBC that it would be "measures, not targets" that would ultimately make the difference in the drive for change. | Mr Miliband told the BBC that it would be "measures, not targets" that would ultimately make the difference in the drive for change. |
"And it's the measures around which we have to build a national consensus and an international consensus to make this change that is ever more vital, " he said. | "And it's the measures around which we have to build a national consensus and an international consensus to make this change that is ever more vital, " he said. |
The Mail on Sunday quoted a leaked letter from Mr Miliband to Chancellor Gordon Brown from 18 October, which it says calls for urgent action in next month's public spending review and next year's Budget. | The Mail on Sunday quoted a leaked letter from Mr Miliband to Chancellor Gordon Brown from 18 October, which it says calls for urgent action in next month's public spending review and next year's Budget. |
In the letter, Mr Miliband calls for measures to combat "car use and ownership", and a "substantial increase" in road tax, the paper reported. | In the letter, Mr Miliband calls for measures to combat "car use and ownership", and a "substantial increase" in road tax, the paper reported. |
He also calls for a new pay-per-mile pollution tax, it said. | He also calls for a new pay-per-mile pollution tax, it said. |
The paper said proposals suggest families with big cars could end up paying more than £1,000 a year in additional tax. | The paper said proposals suggest families with big cars could end up paying more than £1,000 a year in additional tax. |
'Not for revenue' | 'Not for revenue' |
Changing people's behaviour is only achieved by "market forces and price signals", Mr Miliband wrote. | Changing people's behaviour is only achieved by "market forces and price signals", Mr Miliband wrote. |
He added: "As our understanding of climate change increases, it is clear more needs to be done." | He added: "As our understanding of climate change increases, it is clear more needs to be done." |
The minister also suggests making flights subject to VAT, for either domestic flights or "better still all EU flights," the Mail said. | The minister also suggests making flights subject to VAT, for either domestic flights or "better still all EU flights," the Mail said. |
Mr Miliband told the BBC that taxes being considered by the government were not intended as a revenue-raising exercise. | Mr Miliband told the BBC that taxes being considered by the government were not intended as a revenue-raising exercise. |
Higher emission vehicles could face higher road tax | Higher emission vehicles could face higher road tax |
"We are using mechanisms available to government, whether they be regulatory or taxation, to change behaviour," he said. | "We are using mechanisms available to government, whether they be regulatory or taxation, to change behaviour," he said. |
"They're not fundamentally there to raise revenue." | "They're not fundamentally there to raise revenue." |
Mr Miliband said Sir Nicholas's report was a "very sobering message" but also one that offered encouragement. | Mr Miliband said Sir Nicholas's report was a "very sobering message" but also one that offered encouragement. |
"The sooner you start on this process, the less drastic does the action have to be," he said. | "The sooner you start on this process, the less drastic does the action have to be," he said. |
"Sir Nicholas Stern does deliver a strong message that we have to change our behaviour nationally and internationally. | "Sir Nicholas Stern does deliver a strong message that we have to change our behaviour nationally and internationally. |
"But there's a second half of his message, and that is that the technology does exist, the financing - public and private - does exist, and the international mechanisms also exist to get to grips with this problem. | "But there's a second half of his message, and that is that the technology does exist, the financing - public and private - does exist, and the international mechanisms also exist to get to grips with this problem. |
"So I don't believe it's a catastrophist message that he puts forward. It's a challenging message, which politicians need to respond to." | "So I don't believe it's a catastrophist message that he puts forward. It's a challenging message, which politicians need to respond to." |
Sir Menzies told BBC One's Sunday AM programme: "We have absolutely no option but to deal with the problem of climate change and nothing but hard choices will do it." | Sir Menzies told BBC One's Sunday AM programme: "We have absolutely no option but to deal with the problem of climate change and nothing but hard choices will do it." |
Meanwhile Mr Cameron spoke about green levies in an interview for BBC One's The Politics Show. | Meanwhile Mr Cameron spoke about green levies in an interview for BBC One's The Politics Show. |
No 10 turbine | No 10 turbine |
He said: "Some green taxes do hit the poorest in our society, so we have to think about that very carefully before we make taxation decisions. | He said: "Some green taxes do hit the poorest in our society, so we have to think about that very carefully before we make taxation decisions. |
"If it means putting a tax on air travel, then yes, that's something we'd be prepared to do." | "If it means putting a tax on air travel, then yes, that's something we'd be prepared to do." |
But he said budgetary decisions should be made closer to budgetary times. | But he said budgetary decisions should be made closer to budgetary times. |
"We'll come up with those ideas closer to a general election - but green taxes will go up." | "We'll come up with those ideas closer to a general election - but green taxes will go up." |
Mr Cameron also gave his backing to Liberal Democrat-controlled Richmond council's plans to charge the drivers of the most polluting vehicles higher parking fees. | Mr Cameron also gave his backing to Liberal Democrat-controlled Richmond council's plans to charge the drivers of the most polluting vehicles higher parking fees. |
He also said he would put a wind turbine and solar panels on top of Number 10 Downing Street if he became prime minister. | He also said he would put a wind turbine and solar panels on top of Number 10 Downing Street if he became prime minister. |
The Stern Review examined economic, not environmental, arguments of global warming. | The Stern Review examined economic, not environmental, arguments of global warming. |
Sir Nicholas's report says that at the very best the cost of tackling global warming would be 1% of annual economic output. | Sir Nicholas's report says that at the very best the cost of tackling global warming would be 1% of annual economic output. |