The EU is cancelling the system of paper tax discs for the road fund licence from October 1, 2014.

Article 91 of the Lisbon Treaty requires the EU to create a common road transport policy to include VAT, vehicle taxes and fuel taxes.

The RAC says that the additional tax evasion resulting from this change will cost the British exchequer £167m a year in lost income. The EU are making a very expensive mistake in harmonising the system of road fund licences within the EU.

Steve Halden Beaufort Green, Swindon