Dear Sir,

I do not see why Red Diesel needs to go; the colour that is, not the low price. Clearly there must be a price rise but hopefully up to the 20p the EU want, not the £1.10 that nobody wants.

Finding a practical solution seems to me to be an opportunity to raise other more rational taxes and two alternatives are totally ‘do-able’:

1) Bring in a registration scheme for the commercial users, entitling them to reclaim any extra duty. Legitimate operators only; that is those who are registered with HMR&C as carrying on a trade.

No moonlighters allowed, who are currently stealing our money by evading income tax and national insurance and no doubt in the more delinquent cases, also claiming tax credits and other benefits to boot.

The challenge is then reduced to how the commercial users reclaim the duty. Perhaps avoid paying the duty at point of purchase by producing an appropriate ID card? The transactions would have to be recorded by the vendor of course, who would issue an appropriate receipt.

It works for persons engaged in the construction industry who register and have a CIS card. A fuel duty scheme should be far less complex.

2) An alternative, which would be less popular with the masses, is to bring in registration for leisure craft owners; ie, produce your registration card and pay the higher rate of duty (but not the £1.10).

The registration of leisure boat owners has the attraction to government of flushing out those who have purchased craft with ill-gotten gains or in the alternative in relation to that ‘category’, at least collecting full rate road tax duty from them.

Both options have administrative costs but at worst, one would expect the cost to government would be neutral and best, still ‘a nice little earner’ for them.

From the fuel vendors’ point of view, all they need is a new multi-rate till and some more time for their paperwork. Sorry chaps, but better to stay in business than close down for lack of custom.

I know I have glossed over some potential wrinkles, but surely this is workable if the government really wants to help - and goodness knows the incentive is there.

Compare this with the potential damage to our thriving but fragile marine industry and the knock-on effects that could have.

Yours faithfully,

Lawrence Phillips

Lawrence Phillips & Company