NEXT MONTH'S ending of the need to display a car tax disc could lead to tax evasion costing the economy £167 million a year, according to the RAC.
It said it feared that the number of tax-dodgers could equal the number who try to avoid paying motor insurance.
RAC chief engineer David Bizley said: "We could be looking at around £167 million of lost revenues to the Treasury, far exceeding the £10 million that will be saved by no longer having to print tax discs and post them to vehicle owners."
From October 1, motorists will no longer need to display a tax disc on their vehicle windscreen. They will still need to pay their vehicle excise duty car tax, with records being monitored electronically.
An RAC survey of more than 2,000 drivers showed that 36% were unaware of the scrapping of the paper di...