A study conducted by The Royal Automobile Club Foundation has found that four in five households in the UK are spending over a tenth of their income on travel expenses.
‘Transport poverty’ is defined by households spending 10 per cent of their income on running a car. People are concerned that they are spending more on travel expenses than they are on heating bills. The study showed people are spending about 14% of their income running their car while poorer households are spending 17% of their income.
The cost of buying a car has actually fallen, whereas the cost of successfully running one continues to rise. This shows no sign of stopping, with the cost of insurance, tax and fuel set to further increase. Stephen Glaister, Director of The Royal Automobile Club Foundation, advises road users to make fewer journeys in an attempt to save money, but appreciates that at times this can be easier said than done.
Motorists have used the report to hit out at government officials, specifically George Osbourne, current Chancellor of the Exchequer. They claim that they are seen as an ‘easy tax source’, and implore him to see the effects that his fuel duty increases are having on 34,000,000 UK motorists. It was claimed recently, that by cutting just 2.5p per litre in fuel duty could potentially create almost 200,000 new jobs in the UK.
Meanwhile environmental groups have used the report as evidence that the government should focus on improving public transport. A statement from Friends of The Earth said that making public transport much more effective and affordable is a better solution than cutting fuel duty.