January 2003

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CHANCELLOR CHALLENGED TO ENCOURAGE MOTORCYCLING

The Motorcycle Action Group has challenged Gordon Brown to increase the non-taxable allowance for riders using powered two wheelers (PTWs) for business use.

MAG has written to Gordon Brown asking for a review of the allowance in his budget in March.

The motorcycle and scooter allowance has been fixed at twenty-four pence per mile since the inception of the allowance, with no consideration given to any increase in line with inflation.

The allowance for pedal cycle use is an abnormally high at twenty pence per mile, which means that for very little if any maintenance or running costs, pedal cyclists are being awarded a "pedal hardship" allowance and encouraged by financial incentives to use their bicycles.

The Government has repeatedly stated in Transport Plans that they wish to encourage road users out of their cars, which enjoy a higher rate of allowance in proportion to their running costs, and on to other forms of congestion-reducing transport, including motorcycles.

MAG's Chief Executive Henry Marks says, "The current tax allowance does not encourage riders to use their viable and congestion-reducing form of transport, leaving riders financially penalised."

MAG considers an increase in the allowance an opportunity for the Government to reward riders and businesses financially for being a part of the solution to reduce congestion and to send out the right signals to the 1.4 million individuals who own two wheeled vehicles.

For further information contact Henry Marks 07957166257 or Trevor Baird 07747 604119
 

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