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Budget 2016: Severn bridge tolls to be halved Budget 2016: Severn bridge tolls to be halved
(35 minutes later)
Toll charges on the Severn crossings will be halved in 2018, Chancellor George Osborne has announced in his Budget.Toll charges on the Severn crossings will be halved in 2018, Chancellor George Osborne has announced in his Budget.
The current £6.60 toll for cars - already due to be cut to £5.40 - is now expected to fall to around £3.30.The current £6.60 toll for cars - already due to be cut to £5.40 - is now expected to fall to around £3.30.
Mr Osborne said he had listened to the concerns of Conservative MPs in Wales.Mr Osborne said he had listened to the concerns of Conservative MPs in Wales.
Tax breaks for a Port Talbot enterprise zone, in the wake of job losses at Tata Steel, were also announced.Tax breaks for a Port Talbot enterprise zone, in the wake of job losses at Tata Steel, were also announced.
Severn Bridge tolls are currently collected by a firm to pay for the construction and running costs, which are due to be repaid by 2018.Severn Bridge tolls are currently collected by a firm to pay for the construction and running costs, which are due to be repaid by 2018.
The current charge is £6.60 for cars, £13.20 for vans and £19.80 for lorries and buses.The current charge is £6.60 for cars, £13.20 for vans and £19.80 for lorries and buses.
They are paid for westbound journeys only, by vehicles travelling from England into Wales.They are paid for westbound journeys only, by vehicles travelling from England into Wales.
The toll booths could be removed and replaced by online payments, subject to a review planned by the UK government.
Earlier this year David Davies, MP for Monmouth, said the two crossings could be in public ownership months earlier than expected.Earlier this year David Davies, MP for Monmouth, said the two crossings could be in public ownership months earlier than expected.
He said changes to corporation tax and an increase in traffic due to low fuel prices meant construction costs would be repaid sooner.He said changes to corporation tax and an increase in traffic due to low fuel prices meant construction costs would be repaid sooner.
Mr Davies had said there was scope for a huge cut in the tolls, and still cover running costs.Mr Davies had said there was scope for a huge cut in the tolls, and still cover running costs.
The UK government's Department of Transport confirmed in 2014 that tolls on the Severn crossings would not be subject to VAT when they return to public ownership.The UK government's Department of Transport confirmed in 2014 that tolls on the Severn crossings would not be subject to VAT when they return to public ownership.
In the 2015 pre-election budget Mr Osborne announced that, as a result, tolls would fall to £5.40 in 2018.In the 2015 pre-election budget Mr Osborne announced that, as a result, tolls would fall to £5.40 in 2018.