Green tax furore snowballs after leaked letter

In a leaked letter to Chancellor Gordon Brown, environment secretary David
Miliband supported a focus on taxing motorists and the aviation industry,
sparking a political thunderstorm.

With the Stern report also highlighting the environmental challenges, both
parties talked of green tax hikes. Businesses already pay a climate change levy,
which has been criticised as a blunt instrument in the fight against global

Green tax revenues have fallen to 7.7% of total revenue in 2005, down from
9.3% in 2000.

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