noworldsystem.com

Almost half of all car owners will be up to £245 worse off under plans for massive increases in road tax, the Treasury admitted yesterday.

And fewer than one in five will benefit from the controversial move, which was sold as a way to cut greenhouse gas emissions.

The Government’s own figures demolish ministers’ claims that Budget plans to overhaul vehicle excise duty will have little impact on motorists.

In the Commons last month, Gordon Brown said: ‘The majority of drivers will benefit from it.’

But in an apparent contradiction yesterday, Treasury minister Angela Eagle admitted to MPs that from April 2010 it will cost more to keep 43 per cent of all cars on the road – some 9,423,450 vehicles.

More than one million drivers of cars registered between 2001 and 2006 will see road tax jump from £210 to either £430 or £455 depending on emissions, while others face hikes of between £10 and £155.

Gordon Brown came under pressure to apologise today after being accused of ’misleading’ MPs over the Government’s controversial new car tax scheme.

The Treasury was forced to admit this morning that almost half of all car owners will be up to £245 worse off under plans for massive increases in road tax.

And fewer than one in five will benefit from the controversial move, which was sold as a way to cut greenhouse gas emissions.

At Commons question time Shadow chancellor George Osborne challenged the Prime Minster over his claims the ’majority’ of drivers would be better off.

Osbourne said:’“Gordon Brown appears to have misled Parliament.

’He said that the majority of drivers would benefit from the changes to VED.

’Now even the Treasury have admitted that just a third of drivers will be better off in 2009, dropping to less than 20 per cent in 2010.’

’Will the Prime Minister be apologising to this House?’ asked Osborne.

Chancellor Alistair Darling said the majority would ’pay no more’ as a result of the change.

But Mr Osborne maintained his attack and said: ’Nine million families face higher car taxes at a time that few can afford it.

’Poorer drivers will be penalised because the tax is retrospective and hits drivers of older cars.’

The European Parliament on Tuesday approved a proposal to include airlines in the bloc’s strategy to cut carbon dioxide emissions – a move that could dramatically raise the cost of air travel and provoke a dispute with the United States.

Under the plan, all flights starting or landing in the EU, including intercontinental flights, will be included in the EU’s emission trading system from 2012.

Pollution permits granted to airlines initially would be capped at 97 per cent of their average emissions for 2004-2006.

From 2013, the cap would drop to 95 per cent. Eighty-five per cent of those emission certificates will be allocated for free, while the rest will be auctioned.

Airlines that want to fly – and pollute – more will buy more permits But they are likely to pass the cost of the permit on to passengers.

The United States believes the Europeans have no right to force airlines using European air space to participate in their emissions caps program and prefers a voluntary agreement among nations.