Why business transport taxes are 27% lower in Scotland than in the UK as a whole, as shown in the Comparative Study of Business Tax Revenue…

The Executive’s report Comparative Study of Business Tax Revenue estimated that the revenue raised from business transport taxes in Scotland was equal to 1.1% of GDP in 2000 compared to 1.4% for the UK as a whole. These figures follow the definition of business transport taxes used by the Confederation of British Industry and includes vehicle excise duty and fuel excise duty paid by businesses.
Vehicle duty and excise fuel duty rates are set at the UK level and these rates do not vary across the regions of the UK. Therefore, differences in total business transport tax revenues, relative to GDP, will in part reflect differences in usage patterns in terms of vehicles and fuel consumption across UK regions not differences in rates.