British farmers could face bills of more than £5,000 for a new truck under a weight-based vehicle tax reportedly under consideration by the Treasury. Dubbed the "farm truck tax" by campaigners, the plan would place a hefty charge on 4x4s and pickups relied on by farmers and rural workers to do their jobs.
A new scheme being drawn up in Whitehall is based on proposals by a Brussels-based eco-group, with the Treasury refusing to rule it out ahead of this week's Budget.
How the Proposed Levy Would Work
Under the proposed "Large Vehicle Levy," buyers would pay an extra £10 in first-year Vehicle Excise Duty for every kilogram a vehicle weighs over 1,600kg. That would leave the owner of a new double-cab Toyota Hilux, a workhorse on farms across Britain, facing a bill of more than £5,000.
The Daily Mail reported that Treasury officials met lobbyists, who described the meeting as "productive." The Treasury declined to comment, saying it would not comment on speculation.
Rural Groups Warn of Wider Gap
Speaking to the Daily Express, the Countryside Alliance said rural households already pay through the nose just to get around. Its research found they spend almost £800 a year more on fuel than people in towns and cities.
The group warned that taxing vehicles by weight would widen that gap. Many rural workers need heavy, all-terrain vehicles with room for kit, while for older and disabled drivers sturdier cars can be vital on poorly maintained country lanes.
The fears come as farmers reel from a string of blows, including the hated family farm tax which this paper has long campaigned against.
Campaigners Call for Rejection
Johnnie Furse, of the Countryside Alliance, said: "It would be a colossal mistake if the Government were to implement these misguided and harmful proposals. Rural people are already suffering greatly from government policies – what we need is a reset, not more fuel on the fire. These proposals would punish farmers for feeding the nation and penalise rural people simply for living in more remote areas, where larger and more sturdy vehicles are a necessity, not a choice. The Treasury should confirm to the countryside that these measures will not be implemented at next week's Budget. It is time to work with rural people, not against them."
A Treasury spokesperson said: "As has always been the case, decisions on tax are a matter for the Chancellor to set out at fiscal events, rather than routinely commenting on rumour, speculation or proposals."
