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A new report submitted to the Transport Select Committee by academic group Greener Transport Solutions suggests a pay-per-mile scheme should be mandatory by as early as 2030.
The report suggests road pricing could be an effective way to offset lost revenues from the switch to electric vehicles (EVs).
It adds the scheme could also hold the key to issues such as congestion and low air quality.
It also notes policymakers should consider allowing EV drivers to opt into the scheme from 2023 to incentivise electrification of transport and encourage more motorists to ditch petrol and diesel cars.
The Treasury is also urged to plot a ten-year trajectory to increase fuel duty next year in a bid to support EV take-up.
Select Committee told road pricing is one of the best fiscal changes to make
Report by Greener Transport Solution says pay-per-mile scheme should be mandatory in 2030, though voluntary for EV owners from 2023
It said the scheme should be based on vehicle weight, charging 2p per km for cars and higher charges for vans and lorries
A raft of grants and other incentives should be used to entice drivers to switch to EVs and use the scheme as soon as possible
It also urged the Chancellor to outline a 10-year trajectory to increase fuel duty
Banking giants are planning to cut down on business travel in the wake of the Covid pandemic, it emerged today.
HSBC, Lloyds Banking Group and ABN Amro have all announced plans to cut back on international flights in a bid to shrink their carbon footprint and cut costs.
But the news comes as a fresh blow to the beleaguered travel industry, which has been left on its knees in the coronavirus crisis and relies on business travel to bolster profits.
Carriers are forecast to lose around £34 billion in 2021, according to the International Air Transport Association.
Businesses spend more than £215 billion each year on corporate travel, approximately 20 per cent of which is on airfare, PwC figures suggest.
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Summer holidays are something to look forward to each year, however, Britons have faced months of upheaval and coronavirus restrictions. Now a Government task force is examining how Britons can travel abroad come May, with countries categorised depending on coronavirus data.
International travel is permitted from May 17 under Boris Johnson s lockdown roadmap, meaning holidays are back on the cards.
The Global Travel Taskforce are in the process of deciding which countries will be free to travel to, which will face quarantine upon return to the UK and which are banned.