Originally Posted by jwalker
What are you going to tell them?
Excise & Environmental Taxes Policy Design Team
HM Revenue & Customs
I am really worried about the ramifications we will feel if the above proposal is implemented.
The severe increase in fuel costs will markedly reduce the use of personal craft which will reduce the income brought to Coastal and Island communities.
We may have an increase of £200 per tank.
Again I reiterate - This increase will have a reduction in use of boats and devastating effect tourism.
Power Boat production, something we are world leaders, will struggle to find a home market.
According to this directive, red diesel may only be used in the future for heating and must be stored in a separate tank to the white fuel which must be used for propulsion.
Will we require to take out the old fuel tanks which previously held red diesel, fit new untainted tanks. It will be uneconomical to fit separate tanks for our heaters so they will run on white fuel.
The cost and practicality of retro fitting a separate tank for propulsion diesel would be beyond most boat owners
We are now to comply with an EU directive as we leave the EU... This is why we are leaving.
Is it true, even though Brexit is looming, this directive and judgement can still be enforced by the government as part of a leaving agreement or, should Brexit not take place, would automatically be put in place to comply with the EU judgement.
I believe this duty increase will have a devastating impact on Scottish boating Ė the increase in fuel cost will impact on current boat owners, curtail the use of boats and therefore decrease the tourism spend in restaurants, bars and visitor attractions as boat use declines.
It will also have a catastrophic effect on this countryís marine tourism industry, an industry which is already struggling under spiralling costs.
The high cost to modify private boats to fit a completely separate fuel system to allow owners to run heating systems on red diesel means that it would not be worthwhile, and most marinas will supply only white diesel after implementation which leaves the issue of where to get red diesel in the first place.
The cost implication for marinas to install extra diesel tanks to supply both red and white diesel means that many, particularly in more remote areas of Scotland will only continue to sell red diesel to cater for commercial vessels thereby severely restricting the availability of white diesel for private boaters.
In 2016 the Scottish Marine Recreation and Tourism Survey estimated that marine recreation and tourism is worth £3.7 billion to the Scottish economy alone. This ruling is going to force boat owners to pay full duty and VAT on white diesel for both propulsion and heating and will be the beginning of the end for the industry and make the hobby completely unsustainable for people already struggling to fuel their vessels.
In light of the UK current situation and possibly heading towards a ĎNo Deal Brexití, we believe that the correct thing for the Government to do would be;
Set a date for implementation way beyond the intended departure date from the EU, and then completely abolish the plans to implement this decision on leaving the EU.
Perhaps go even further to stimulate the boating market upon leaving the EU and allow private pleasure boat users to go back to using red diesel at the commercial rate of duty for propulsion and promote sailing and motor boating and allow the industry to grow.