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On 27 October 2004, the Joseph Rowntree Foundation (JRF) published research (Green taxes and charges: reducing their impact on low-income households) which shows that consumption of energy, water and waste disposal services in poorer households is disproportionately high in relation to their income. The same is true of petrol or diesel for those who own cars. Consequently, flat-rate environmental taxes or charges would be 'regressive' - claiming a greater share of income from poor people than from better-off households.
The negative impact of 'Green' taxes, which are designed to protect
the environment by cutting consumption of gas, electricity, petrol and
other natural resources, on low-income households can be substantially
reduced through carefully designed charging regimes or compensation
schemes
The report can be viewed on the
JRF
website