23 MARCH 1929, Page 43

Motors and Motoring

Motor Taxation—Petrol Prices

TirE Spedator in a leadint -article has recently dealt with "Petrol and Monopoly:" It is proposed here to refer to petrol prices as affecting motor transport in the British

Empire. .

It would appear that there are two essential points to bear in mind in connexion with motor taxation and petrol pekes. The present outcry against the recent rise in the pnee of petrol is .a comparatively side issue, and since it tends to get away from and hide the real point, it is a great pity that so much prominence has been given to it. The need of encouraging our motor industry is not only important, but likely to prove vital in the future interest of trade here and in the development of the Empire overseas. Too much stress cannot be laid upon the matter, and the first essential is to persuade the Government to take the motor industry seriously, as is the case in America, whereit now ranks first and not to look upon it as of second or third-rate importance. The necessary factor for expansion is to make everything connected with motor transport cheaper. Machines should be produced in such a way that they can sell at lower and more competitisf prices both at home and abroad, main- tenance should lie-lowered, and improved roads should be constructed with the costs spread over a period of years.

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The British motor industry, if it is to survive and preserve a healthy constitution, must help itself, and the way towards lower production costs, and consequently greater output and sales, is by amalgamation in order to avoid overlapping of makes and types while ensuring more concentrated and effective propaganda. The American motor industry was never more alive than it is, to-day, and no efforts are being spared to increase the export markets, many of which should be ours and should prove a considerable source of increased employment and trade expansion over a number of years. The industry here, however, is in a somewhat peculiar position, and desirable and essential as self-help is, we shall never get the full benefit which development in this industry could bring to the nation without practical encouragement from the Government. The motor vehicle user here is taxed more heavily than in any country in --Ore world, and it is a fact which bears out the common-sense policy of the United States in going for turnover and our short-sighted view in adopting a high tax per vehicle unit, that the greatest increase in total receipts here has been for the category of private ears—where the average tax per ve:ticle is comparatively low and declining—while the smallest increase in total receipts has been in the group containing, hackneys, in which...the - average tax is high and increasing. If the present agitation was directed against the retention of the high vehicle tax rather than against a rise in the price of petrol, which, at any rate as far as car owners are concerned, is not such a serious matter as many would have us believe, it would be

far more to the point. • . a. * * * It is primarily important that motor transport of all kinds should be taxed at a lower annual rate. Given this, it would serve the welfare of the industry and the nation as a whole far better now, and in the future, were taxation in correspond- ence with the use or mileage of vehicles and in no way adjusted so that it proves a handicap on design. There is no doubt in my mind that in the case of cars the horse-power tax based upon an out-of-date formula for rating horse-power has warred seriously against our export trade, and provided the American with a most useful weapon for propaganda. It is true that a horse-power tax which takes in for rating the diameter of the cylinder and not the stroke as well now favours here the modern British ear and not the American, and thus is a form of mild safeguard ; on the other hand, with higher-priced petrol the British high efficiency engine and chassis, which are definitely very much more economical for a given output of work, are certainly in a favourable position. It is understandable that the industrial motor branch of the industry, and those who employ commercial motor vehicles, do not like a rise in the price of fuel, for even an additional penny in the vehicle cost a mile will often mean an expenditure on a fleet of several thousand additional

ids a year. Any increase here, however, should be offset

taxation by other means. * * * * We come now to the second point of real importance, and that is the matter of a home-produced and relatively inex- pensive fuel, and the greatest promise for the future would appear to be oil from coal. There is a large amount of ?march and practical experiment being carried out in this country and on the Continent at the present time in the lerivation of oil from coal. If oil could be produced on a eonunercial basis here in this way it would prove of untold benefit to the country, for it would not only revive the coal.

fields and absorb much unemployment with consequent saving to the nation, but would stimulate other trades, including the motor industry. I believe the chief obstacle to commer- cializing oil from coal has-been the inexpensiveness of petrol, and it, was probable. that this was the chief reason for the tax put on imported spirit last year. It is also possible that the oil companies may well have anticipated a further increase in taxation, and have hoped by, putting up their prices, if Only' for a time, to counteract -any rise in this direction. No, doubt the big oil importing. concerns are by now largely interested in the best processes of deriving oil from coal ; at the same time imported fuel is-the direct source of their great wealth, and consequently one can hardly blame them for using what weapons they can in the fight. I should like to see motor taxation substantially reduced in the aggregate, but not by cheaper imported oil, and in such a way that designers would not be restricted in their efforts to supply the needs of the Empire as a whole. • Thus our motor industry would be given- the encouragement which it rightly deserves and assuredly needs, while we'shOnld be nearer the day when unemployment woulld be absorbed and we should be inde- pendent of foreign supplies of a commodity which has now berome part and parcel of the national life.

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The small ear is the one most used in this country, but machines of the -larger type, are obviously needed too, and this is evidenced -by the -number of full-sized American cars which are seen on British _roads. The 20/65 h.p. 6-cylinder Humber is a big enough model to accommodate a chauffeur, yet it is not unwieldy-to be owner-driven and maintained. It may be recalled that /limber's was not very long ago connected with Hillman, and since the fusion of interests further progress has been made. An example is that the seven-seated 20/65 h.p. Humber landaulette or limousine has been reduced to 1875; the five-seater saloon to £750, and the dual-purpose model, which is an open tourer with wind-up windows,-to £610. The chassis price has come down no less than-470 to £500.

a * * * The R.A.C. has subscribed a sum of £25 towards the prize of £100 which is being offered for a competition under the auspices of the Royal Institute of British Architects for a standard sign• for petral filling stations in areas which may be ultimately scheduled by local authorities under Section 11 of the Petrol. Consolidation Act. The competition forms part of the general campaign now in progress against the disfigurement -of the -countryside.

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Entries of three teams, each consisting of three ears. from the Lea Francis, Alvis, and Sunbeam Companies respectively; have been received by the R.A.C. for this year's Tourist Trophy Race in Ulster. Last year's race was won by a Lea Francis - car, an- Alvis being second. It is some years since a Sunbeam team raced in this country, and the entry of a team of these famous cars will add considerably to the interest of the race, which will be held in August next.

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The Hillman straight eight, two of which Major Segrave took to America for the use of himself and his assistants„ is the lowest-priced straight eight on the British market.; The example shown at Olympia last year was of considerable interest. I have for several years been a believer in the straight eight for medium and large-sized cars. The first big batch of these Hillmans was despatched from the Coventry works this week, and went to the. main distributors.

* * * * His Majesty the King has honoured Stratton-Instone Limited with an order for a new Daimler car for His Majesty's special use. The new car, which will be delivered in the early summer, is a Daimler Double-Six 30, fitted with a Hooper brougham. The car will be for His Majesty's personal use, as distinct from the larger Daimlers which the King uses on State occasions. * * * *

In my article of March 9th last I referred to a remarkable journey made across Australia by a British Seven. In response to numerous requests it may be stated that the car in question was a Triumph Super Seven and that the driver was Mr. Armstrong of Perth who is sixty-five years of age. Not satisfied with reaching Sydney without mishap, Mr. Armstrong recrossed the Australian continent from Sydney to Perth on the same car, making a total mileage of nearly 6,000 miles. I understand that on reaching Perth he cabled to say that the car was running perfectly. This outstanding performance well illustrates the merit of the British light car.

Yotat MOTORING CORRESPONDENT.