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Unbiased readers have reacted with anger to Rachel Reeves’ proposal to impose VAT on taxi fares, warning it will unfairly penalise rural residents, older folks and people with disabilities who depend on cabs for important journeys.
Many highlighted the excessive value of taxis within the countryside, the place public transport is scarce or non-existent, and dubbed the coverage as “London-centric”.
Readers stated that hospital journeys, grocery store runs and faculty transport already stretch family budgets, and that including 20 per cent would scale back mobility, deepen isolation, and put further pressure on native councils.
In addition they pointed to the pressure on the NHS, which spends round £460m a 12 months on non-emergency affected person transport companies – a system that always consists of using taxis and personal rent autos to take folks to medical appointments.
Others steered various sources of income, together with reforming council tax or concentrating on luxurious companies reminiscent of non-public healthcare, moderately than taxing those that use taxis out of necessity.
Whereas a handful of readers argued that taxis are sometimes a luxurious and must be taxed like different companies, the overwhelming response condemned the thought as regressive, short-sighted and a betrayal of weak communities.
Right here’s what you needed to say:
The aged who can not drive will probably be penalised
In Cornwall, the place I stay, the taxi fare every option to the closest hospital is round £100, generally £120. That’s every method. Principally the individuals who use these taxis are outdated women or males who can not drive, however need to go to hospital and should not capable of reclaim cash as a result of they don’t seem to be on pension credit or another profit. There are many these folks, primarily widows who got here to Cornwall after which misplaced their husband, however have simply sufficient cash to be above the edge for advantages.
Baritonb2
They use taxis as a result of they need to
Do not do it. I do know heaps of people that use taxis as a result of they need to. In areas of poor public transport, and so they cannot afford a automotive, for grocery store procuring, hospital/physician appointments, and many others. An additional 20% is a large hike, cab homeowners will lose revenue, and other people will lose mobility.
bloodwort
A catastrophe ready to occur
I stay in rural Herefordshire. No automotive, no help community for journeys. Two buses every week to the closest city, eight miles away. That service is at the moment below menace. A single taxi from or to there prices £30 now. A devoted bus gang retains the present service going by willpower alone, however the buses continually break down. Fortunate to have even that.
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I met a chap from a special space, the New Forest, who informed me they haven’t any bus service in any respect. Issue within the age of rural dwellers, and the brand new stringent laws for drivers over 70, and you’ve got a full-on catastrophe ready to occur. Additionally probably improve in drink driving again from the pub. One other personal objective for the federal government.
OkTed
VAT ought to apply outdoors London
I do not perceive why taxi fares outdoors London haven’t been topic to VAT. It is time for the areas to drag their weight moderately than simply spend, spend, spend the cash that’s generated in London from Londoners and the work they do.
I can hear the howls already from those that desire a free journey.
rEUjoin
Tax luxurious companies
There’s a enormous tax alternative which I feel we’re lacking.
How do wealthy folks spend their cash? They purchase specialist companies unavailable to most of the people – non-public faculties, non-public well being care, chauffeur-driven vehicles, yachts in membership moorings, stables for ponies – the listing could be very giant.
Reeves has made a begin in eradicating VAT reduction from non-public faculties, however she ought to go additional and tax them. She ought to make a listing of all these ‘luxurious’ items and companies and put punitive taxes on them till they now not exist. For a begin, she might take away the VAT reduction on non-public well being care – oh sure, non-public drugs often will get the identical VAT-free perk that personal training used to. Personal well being turnover within the UK final 12 months was £12.4bn – 20 per cent of that may be £2.5bn per 12 months. Quickly fill the black gap…
Dodgy Geezer
Council tax
I solely have three issues to say:
The cap on council tax is absurd and a present to the very wealthy. We want extra bands on prime of the present ones in order that the very wealthy pay extra. Doing this might be easy, low-cost, and would haven’t any antagonistic affect on the common particular person.
Palemale
Further stress on taxpayers
Aside from including to NHS prices, lots of taxis are offered by native authorities to get children – particularly SEN children – to colleges in rural areas. That value may also put further stress on taxpayers.
SteveHill
Handle the foundation of presidency borrowing
The federal government must cope with the true cause for the unsustainable degree of presidency borrowing, which is document authorities spending. And this implies slicing the areas which have seen excessive progress in recent times: outdated age advantages, illness advantages, free well being care, and social care.
Mark
The sticks
Most individuals outdoors London use taxis as a result of they don’t have a viable various for the journeys they want to make. Right here within the sticks, we don’t have a carefully built-in, all-encompassing transport system. Ms Reeves appears to need to unfairly punish folks for being needy. The place have I heard that earlier than? Am I sensing a U-turn already?
Nomoneyinthebank
Gasoline responsibility
Gasoline responsibility rise is lengthy overdue. Improve it and let those that drive for a dwelling or the companies they work for declare it as a enterprise expense on their tax return. Hike the highest earners tax as effectively.
BikingBoomer
Taxis are a luxurious for many
I see taxis the place I stay primarily used to take folks to the airport to allow them to catch flights to their costly overseas holidays, or exit in town and never want to fret about having a number of bevvies.
I’m certain there are some individuals who would fall into the ‘no various and impoverished’ class, however disabled folks get vouchers they’ll use on taxis, and lots of people might really stroll a few miles with out killing themselves. Really, do them the world of fine.
Taxis are a luxurious for many customers, so it will make sense to cost VAT identical to non-public motorists need to pay on diesel and petrol, and charging EVs on public charging stations.
In fact, the taxi enterprise can also be a part of the black market in lots of instances.
CanPeopleReallyBeThisStupid
London-centric
One other half-baked thought from the London-centric Treasury. My council makes use of taxis lots for varsity runs, so that is simply extra value. Why does she and the Treasury give you one thing that will probably be each acceptable and work? Attempt closing some tax avoidance loopholes; that may be a very good begin.
ZZiggurat
Susceptible teams will endure
Penalising those that can’t or should not allowed to drive by DVLA due to age or incapacity, those that can not afford a automotive, folks in rural areas, the younger, and the weak having to stroll residence at evening… Is she secretly working for a right-wing celebration and attempting to lose help?
Holly
A number of the feedback have been edited for this text for brevity and readability.
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