Taxation (Energy and Vehicles) Bill Committee: New Clause 5

On 1 July 2026, the House of Commons voted on New Clause 5 during the committee stage of the Taxation (Energy and Vehicles) Bill. The clause would have required the Government to report to Parliament on the financial impact of a temporary Vehicle Excise Duty (VED) rate for heavy goods vehicles, covering the effect on public finances, the competitiveness of the freight and logistics sector, the clause's contribution to supply chains, and whether the measure should continue beyond twelve months. The Commons rejected the clause by 308 votes to 177. The vote concerns a Government measure granting a temporary VED holiday for HGVs, introduced in response to the conflict in the Middle East and the disproportionate fuel cost burden on road haulage. New Clause 5 would not have reversed that policy but would have compelled the Treasury to publish a formal assessment of it before any decision to extend or end the measure. Rejecting it means no statutory obligation exists for such a review, though the Government noted the Office for Budget Responsibility will scrutinise the costing and that taxes and reliefs are considered ahead of each fiscal event. The vote divided entirely along government-versus-opposition lines. All 306 Labour and Labour-Co-operative MPs who voted opposed the clause, while 95 Conservatives, 58 Liberal Democrats, and smaller parties including Plaid Cymru, the SNP, Reform UK, and the DUP all voted in favour. The Greens voted no alongside the Government. The result mirrors a parallel division the same day, in which New Clause 4, requiring a review of the electricity generator levy, was also defeated by 282 to 173.