Conspiracy?gbsimpsa":ln5zbpox said:Much of what you say is true Neil, albeit sounding a bit of a government conspiracy.
Which part?
The rationale behind so much (increased and increasing) indirect taxation is well established and understood.
The concept of the revenue generated being significant and from a budget standpoint, essential - is purely simple (well, ok, in some cases not-so-simple, and a bit obfuscated, accounting).
As to my take on the motivation behind it (not really being behaviour changing or encouraging - merely to extract money) well it's borne out by reality - government(s) can't do without the money, easily, without having to take it from elsewhere - and is largely what they say when challenged on it, and they can't do with the tax revenue being significantly reduced - say by a wholesale change in behaviour.
A lot of it is fairly obvious - politicians have realised that the public won't like increased direct taxation, so they find ways of indirectly doing so, and along the way, clearly it's in their interests to proclaim reasons that most may (however grudgingly) agree with.
Are you really telling me, that you believe the government's taxation policy on fuel is based on it's sustainability of the raw resources?gbsimpsa":ln5zbpox said:It is an interesting dillema for any government, in that there are supposedly 40 years of oil reserves left, where will the massive energy revenues come from next?
They will have to raise as much taxation by indirect means as they can, and what's clear is that whatever might be claimed as a good reason for increased taxation, will be used.gbsimpsa":ln5zbpox said:It wouldn't be popular to tax alternative fledgling (renewable etc) fuels as strongly at this stage without appearing to be anti-green, pro oil etc but they will have to at some point.
Fuel is a reasonable case point - in that taxation has risen and risen (and the VAT applied on top of the tax has risen) up to a point, where they feel the public will just about tolerate. In the instances where the base price of crude has spiked, high prices at the pumps have generally caused people to complain. So at times they've deferred tax increases, but in general the house always wins.
And why? Because it's such a great earner.
So as I say, it's not done for any sustainability reasons, nor pretensions to environmentalism - merely revenue generating, because quite simply they can't live without the money. Nor could they live with a substantial reduction in revenue from it - say if it really did cause people to notably reduced their consumption.
As with all these indirect taxations (and with more emphasis when it can raise most revenue) they're pitched at a level that the public will just about tolerate.
No conspiracy, no dig at individual party politics, no odd theory - simple economics.