STERN PROTEST

Hawke's Bay Tribune, Volume XIX, Issue 65, 4 March 1929, Page 6

STERN PROTEST

PETROL INCREASES HEAVY TAXATION BURDEN OF BRITISH MOTORISTS. (United Press Association— By Cable— Copyrigni.l I Australian ami fi.A. press Association,! London, March 2. A feature of tne Stock Exchange to-uay was a sharp rise m the prices of ou shares on tne announcement ol the increase of 2Jd per gallon in petrol in conjunction with reports oi an agreement between the AngloAmerican Oil Company and Russian interests regarding the marketing of oil in this country. The prevailing price in London for combine petrol before this increase was Is 4-)d per gallon. The increase finds British motorists again in stern protest against their apparently never-ending financial burdens. The “Daily Express,” analysing the increase, features the fact that it means an additional £8,000,000 in the coffers of the oil companies, which only this week succeeded in arranging with the Russian oi| products combine, thereby eliminating under-selling. The “Daily Express” points out that of the £8,000,000 approximately £2,000,000 will go to the Anglo-Persian Company, which is controlled by the British Government. The paper says; “The British Government, therefore, will extract extra profit from the British motorist,_from whom it already is obtaining £25,0000(10 in horse-power tax and £17,000,000 in petro] tax. Thus taxation of the motorist is no less than £58,000,000. Mr Churchill is stated to be hoping to further increase the petrol tax, with a compensating reduction of the horse-power tax. An increased petrol tax is now unthinkable, so presumably the horsßtpower tax, which has nearly killed British car exports, must remain.” Scores of authorities point out that the absurd horse-power taxation has ruined the English car’s chances in Australia, where imports of British vehicles have alarmingly fallen off. This is reflected in British factories, where the post-war- output has shown a decrease. The “Evening Standard” editorially describes taxation on motoring as offensive and sure to reflect on the motor industry. Double taxation is over-heavy and over-cumbersome A deputation of 22 motoring organisations is seeing Mr Churchill next week to urge a reduction of taxation. The general public are also likely to be affected. Omnibus companies say that unless there are compensating features in the. Budget increased fares will be necessary.