IDEAS home Printed from https://ideas.repec.org/a/eee/trapol/v65y2018icp30-39.html
   My bibliography  Save this article

Financial Implications of Car Ownership and Use: a distributional analysis based on observed spatial variance considering income and domestic energy costs

Author

Listed:
  • Chatterton, T.
  • Anable, J.
  • Cairns, S.
  • Wilson, R.E.

Abstract

This paper presents a new perspective on assessing the financial impacts of private car usage in England and Wales using novel datasets to explore implications of motoring costs (principally Vehicle Excise Duty and road fuel costs) for households as part of the overall costs of their energy budget. Using data from an enhanced version of the Department for Transport ‘MOT’ vehicle test record database, combined with data on domestic gas and electricity consumption from the Department for Business, Energy and Industrial Strategy (formerly the Department of Energy and Climate Change), patterns of car usage and consequent energy consumption are investigated, and the costs of Vehicle Excise Duty and road fuel examined as a proportion of total expenditure on household direct energy consumption. Through the use of these new datasets it is possible to analyse how these vary spatially and in relation to levels of median income. The findings indicate that motoring costs are strongly regressive, with lower income areas, especially in rural locations, spending around twice as much of their income on motoring costs as the highest income areas.

Suggested Citation

  • Chatterton, T. & Anable, J. & Cairns, S. & Wilson, R.E., 2018. "Financial Implications of Car Ownership and Use: a distributional analysis based on observed spatial variance considering income and domestic energy costs," Transport Policy, Elsevier, vol. 65(C), pages 30-39.
    • Handle: RePEc:eee:trapol:v:65:y:2018:i:c:p:30-39
    DOI: 10.1016/j.tranpol.2016.12.007
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0967070X16308435
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.tranpol.2016.12.007?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Brand, Christian & Boardman, Brenda, 2008. "Taming of the few--The unequal distribution of greenhouse gas emissions from personal travel in the UK," Energy Policy, Elsevier, vol. 36(1), pages 224-238, January.
    2. Büchs, Milena & Schnepf, Sylke V., 2013. "Who emits most? Associations between socio-economic factors and UK households' home energy, transport, indirect and total CO2 emissions," Ecological Economics, Elsevier, vol. 90(C), pages 114-123.
    3. Druckman, A. & Jackson, T., 2008. "Household energy consumption in the UK: A highly geographically and socio-economically disaggregated model," Energy Policy, Elsevier, vol. 36(8), pages 3167-3182, August.
    4. Stephen Potter & Graham Parkhurst, 2005. "Transport Policy and Transport Tax Reform," Public Money & Management, Taylor & Francis Journals, vol. 25(3), pages 171-178, June.
    5. Wilson, R.E. & Anable, J. & Cairns, S. & Chatterton, T. & Notley, S. & Lees-Miller, J.D., 2013. "On the estimation of temporal mileage rates," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 60(C), pages 126-139.
    6. Dresner, Simon & Jackson, Tim & Gilbert, Nigel, 2006. "History and social responses to environmental tax reform in the United Kingdom," Energy Policy, Elsevier, vol. 34(8), pages 930-939, May.
    7. Simon Dresner & Paul Ekins, 2006. "Economic instruments to improve UK home energy efficiency without negative social impacts," Fiscal Studies, Institute for Fiscal Studies, vol. 27(1), pages 47-74, March.
    8. M i Diao & Joseph Ferreira Jr, 2014. "Vehicle Miles Traveled and the Built Environment: Evidence from Vehicle Safety Inspection Data," Environment and Planning A, , vol. 46(12), pages 2991-3009, December.
    9. Dargay, Joyce, 2007. "The effect of prices and income on car travel in the UK," Transportation Research Part A: Policy and Practice, Elsevier, vol. 41(10), pages 949-960, December.
    10. Sterner, Thomas, 2012. "Distributional effects of taxing transport fuel," Energy Policy, Elsevier, vol. 41(C), pages 75-83.
    11. repec:cep:sticas:/152 is not listed on IDEAS
    12. Saamah Abdallah & Ian Gough & Victoria Johnson & Josh Ryan-Collins & Cindy Smith, 2011. "The distribution of total greenhouse gas emissions by households in the UK, and some implications for social policy," CASE Papers case152, Centre for Analysis of Social Exclusion, LSE.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Mattioli, Giulio & Wadud, Zia & Lucas, Karen, 2018. "Vulnerability to fuel price increases in the UK: A household level analysis," Transportation Research Part A: Policy and Practice, Elsevier, vol. 113(C), pages 227-242.
    2. Sovacool, Benjamin K. & Lipson, Matthew M. & Chard, Rose, 2019. "Temporality, vulnerability, and energy justice in household low carbon innovations," Energy Policy, Elsevier, vol. 128(C), pages 495-504.
    3. Lowans, Christopher & Furszyfer Del Rio, Dylan & Sovacool, Benjamin K. & Rooney, David & Foley, Aoife M., 2021. "What is the state of the art in energy and transport poverty metrics? A critical and comprehensive review," Energy Economics, Elsevier, vol. 101(C).
    4. Roşca Vlad I., 2019. "Costs a pretty penny: how household income impacts upon motorization in Europe and raises manufacturer branding challenges," Proceedings of the International Conference on Business Excellence, Sciendo, vol. 13(1), pages 759-771, May.
    5. Pyddoke, Roger & Swärdh, Jan-Erik & Algers, Staffan & Habibi, Shiva & Sedehi Zadeh, Noor, 2019. "Long-term responses to car-tax policies: distributional effects and reduced carbon emissions," Papers 2019:4, Research Programme in Transport Economics.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Büchs, Milena & Schnepf, Sylke V., 2013. "Who emits most? Associations between socio-economic factors and UK households' home energy, transport, indirect and total CO2 emissions," Ecological Economics, Elsevier, vol. 90(C), pages 114-123.
    2. Buechs, Milena & Schnepf, Sylke V., 2013. "UK Households' Carbon Footprint: A Comparison of the Association between Household Characteristics and Emissions from Home Energy, Transport and Other Goods and Services," IZA Discussion Papers 7204, Institute of Labor Economics (IZA).
    3. Nicholas Bardsley & Milena Büchs & Sylke V Schnepf, 2017. "Something from nothing: Estimating consumption rates using propensity scores, with application to emissions reduction policies," PLOS ONE, Public Library of Science, vol. 12(10), pages 1-23, October.
    4. Taneja, Shivani & Mandys, Filip, 2022. "Drivers of UK household energy expenditure: Promoting efficiency and curbing emissions," Energy Policy, Elsevier, vol. 167(C).
    5. Burgess, Martin, 2016. "Personal carbon allowances: A revised model to alleviate distributional issues," Ecological Economics, Elsevier, vol. 130(C), pages 316-327.
    6. Druckman, Angela & Buck, Ian & Hayward, Bronwyn & Jackson, Tim, 2012. "Time, gender and carbon: A study of the carbon implications of British adults' use of time," Ecological Economics, Elsevier, vol. 84(C), pages 153-163.
    7. Heidi Bruderer Enzler & Andreas Diekmann, 2015. "Environmental Impact and Pro-Environmental Behavior: Correlations to Income and Environmental Concern," ETH Zurich Sociology Working Papers 9, ETH Zurich, Chair of Sociology.
    8. Longhi, Simonetta, 2015. "Residential energy expenditures and the relevance of changes in household circumstances," Energy Economics, Elsevier, vol. 49(C), pages 440-450.
    9. Martin Burgess & Mark Whitehead, 2020. "Just Transitions , Poverty and Energy Consumption: Personal Carbon Accounts and Households in Poverty," Energies, MDPI, vol. 13(22), pages 1-24, November.
    10. Alberto Gago & Xavier Labandeira & Xiral López Otero, 2014. "A Panorama on Energy Taxes and Green Tax Reforms," Hacienda Pública Española / Review of Public Economics, IEF, vol. 208(1), pages 145-190, March.
    11. Matteo Böhm & Mirco Nanni & Luca Pappalardo, 2022. "Gross polluters and vehicle emissions reduction," Nature Sustainability, Nature, vol. 5(8), pages 699-707, August.
    12. Lévay, Petra Zsuzsa & Vanhille, Josefine & Goedemé, Tim & Verbist, Gerlinde, 2021. "The association between the carbon footprint and the socio-economic characteristics of Belgian households," Ecological Economics, Elsevier, vol. 186(C).
    13. Meier, Helena & Rehdanz, Katrin, 2010. "Determinants of residential space heating expenditures in Great Britain," Energy Economics, Elsevier, vol. 32(5), pages 949-959, September.
    14. Nils Ohlendorf & Michael Jakob & Jan Christoph Minx & Carsten Schröder & Jan Christoph Steckel, 2021. "Distributional Impacts of Carbon Pricing: A Meta-Analysis," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 78(1), pages 1-42, January.
    15. Lena Kilian & Anne Owen & Andy Newing & Diana Ivanova, 2022. "Exploring Transport Consumption-Based Emissions: Spatial Patterns, Social Factors, Well-Being, and Policy Implications," Sustainability, MDPI, vol. 14(19), pages 1-26, September.
    16. Liu Yang & Yuanqing Wang & Yujun Lian & Zhongming Guo & Yuanyuan Liu & Zhouhao Wu & Tieyue Zhang, 2022. "Key Factors, Planning Strategy and Policy for Low-Carbon Transport Development in Developing Cities of China," IJERPH, MDPI, vol. 19(21), pages 1-14, October.
    17. Zhang, Weishi & Xu, Ying & Wang, Can & Streets, David G., 2022. "Assessment of the driving factors of CO2 mitigation costs of household biogas systems in China: A LMDI decomposition with cost analysis model," Renewable Energy, Elsevier, vol. 181(C), pages 978-989.
    18. Pu Lyu & Yongjie Lin & Yuanqing Wang, 2019. "The impacts of household features on commuting carbon emissions: a case study of Xi’an, China," Transportation, Springer, vol. 46(3), pages 841-857, June.
    19. Gössling, Stefan, 2019. "Celebrities, air travel, and social norms," Annals of Tourism Research, Elsevier, vol. 79(C).
    20. Wyatt, Peter, 2013. "A dwelling-level investigation into the physical and socio-economic drivers of domestic energy consumption in England," Energy Policy, Elsevier, vol. 60(C), pages 540-549.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:trapol:v:65:y:2018:i:c:p:30-39. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/30473/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.