Vehicle travel distance tax still being considered

Guernsey's government is still considering whether to introduce distance charging for motorists as part of wider tax reforms.

The States of Guernsey said work on setting up a trial scheme was stalled because of the Covid-19 pandemic and Brexit - and had been "overtaken" by other priorities.

In 2023, the States asked for more investigation into tax revenues from transport, including distance charging.

Politicians from the island's Policy and Resources and Environment and Infrastructure committees are considering it.

Distance charging means motorists pay tax for the miles they travel.

The government said the rate could vary depending on a vehicle's weight, engine size and power, and its CO2 emissions - and could be calculated by in-car technology.

It started looking at the issue in 2019 because revenue from fuel duty dropped as motor fuel consumption dropped by 4m litres over the decade to 2018.

Responding to a Freedom of Information request by the BBC, Policy and Resources chair Deputy Lindsay de Sausmarez, said work was continuing as the two committees "had different views" of how transport tax reform should be prioritised.

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