UN Proposes New Tax for Global Road Safety Fund
car&bike Team
1 min read
Nov 30, 2015, 06:05 PM
A new tax could be imposed on new vehicles, imported used cars tyres and even on tyres which would contribute towards a global road safety fund. The proposal was made by the United Nations at the recent global summit on road safety in Brasilia in order to generate funds which would deal specifically with road accidents and related events.
Road accidents currently rank as the ninth major cause of death globally and contribute to the highest number of fatalities in the age group of 15-29 years. In fact, current trends indicate that road crashes are set to become the seventh leading cause of death by 2030.
According to the United Nations, road traffic accidents kill an estimated 1.3 million people every year. On an average, that's 3,287 deaths per day. 90 per cent of them occur in middle and low-income countries, even though they have approximately half of the world's vehicles. In India, around 140,000 people are killed in road accidents annually.
Jean Todt, United Nations secretary general's special envoy for road safety, announced the formation of a high-level panel to create the UN fund. He said that around 18 million cars and one billion units of tyres are sold annually across the globe, and even a small surcharge levied per unit would result in a massive contribution.
Todt also added that the alcohol industry must contribute as well since it is one of the major contributors to road deaths.
The idea of a global fund has come about since middle and low-income countries are the worst-affected when it comes to road accidents.
This is on the lines of the Ebola tax which was imposed on international airline travel to fight the disease and help in research.
World Bank's chief financial officer Bertrand Badre, while speaking to The Times of India, said that governments should contribute more towards the road safety fund.
"We must ensure is that the funds collected globally are used carefully. Don't waste the fund at any cost and you need to convince people that the money collected from them in any form of tax is utilised properly. First, we need to work out why we need the fund and what to do with it," he added.
Badre also mentioned that quite a few countries are already on board with the idea and that the exercise should be able to get the go-ahead without too much fuss.
Road accidents currently rank as the ninth major cause of death globally and contribute to the highest number of fatalities in the age group of 15-29 years. In fact, current trends indicate that road crashes are set to become the seventh leading cause of death by 2030.
According to the United Nations, road traffic accidents kill an estimated 1.3 million people every year. On an average, that's 3,287 deaths per day. 90 per cent of them occur in middle and low-income countries, even though they have approximately half of the world's vehicles. In India, around 140,000 people are killed in road accidents annually.
Jean Todt, United Nations secretary general's special envoy for road safety, announced the formation of a high-level panel to create the UN fund. He said that around 18 million cars and one billion units of tyres are sold annually across the globe, and even a small surcharge levied per unit would result in a massive contribution.
Todt also added that the alcohol industry must contribute as well since it is one of the major contributors to road deaths.
The idea of a global fund has come about since middle and low-income countries are the worst-affected when it comes to road accidents.
This is on the lines of the Ebola tax which was imposed on international airline travel to fight the disease and help in research.
World Bank's chief financial officer Bertrand Badre, while speaking to The Times of India, said that governments should contribute more towards the road safety fund.
"We must ensure is that the funds collected globally are used carefully. Don't waste the fund at any cost and you need to convince people that the money collected from them in any form of tax is utilised properly. First, we need to work out why we need the fund and what to do with it," he added.
Badre also mentioned that quite a few countries are already on board with the idea and that the exercise should be able to get the go-ahead without too much fuss.
Related News
Latest Cars
Upcoming Cars
Trending News
1 min readTriumph Tracker 400 Unveiled in UK
Latest News
Janak Sorap | Dec 16, 2025Triumph Tracker 400 Unveiled in UKBased on the Speed 400’s platform with the tune from the Thruxton 400.1 min read
car&bike Team | Dec 16, 2025Kawasaki Versys-X 300 Offered With Rs 25,000 DiscountAfter the discount, the entry-level Kawasaki Adventurer tourer is priced at Rs 3.24 lakh (ex-showroom).3 mins read
car&bike Team | Dec 16, 20252026 MG Hector Prices, Variant-Wise Features ExplainedThe updated Hector is sold in 5 trim levels - Style, Select Pro, Smart Pro, Sharp Pro, Savvy Pro.2 mins read
car&bike Team | Dec 16, 2025Updated Bajaj Pulsar 220F Launched: Gets Dual-Channel ABSAlong with dual-channel ABS, the Pulsar 220F gets two new colour options.1 min read
Janak Sorap | Dec 16, 2025Yamaha R3 and MT-03 Discontinued in India; Here’s WhyThe motorcycles had revied around a price revision of more than a lakh earlier this year, followed by additional discounts due to GST reform, and yet have failed to secure any momentum.1 min read
Jaiveer Mehra | Dec 15, 2025Mahindra XUV 7XO Interior Previewed Ahead Of Debut; Triple Screen Layout ConfirmedNew teaser video provides a glimpse at the facelift XUV 700’s cabin and confirms some of the features.1 min read
Janak Sorap | Dec 11, 2025Harley-Davidson X440 T First Ride Review: Smarter and SharperHarley-Davidson has taken the X440 and given it a more focused and engaging twist. The result is the X440 T—essentially the same platform but updated in areas that give the motorcycle more appeal and riders more thrill.5 mins read
Shams Raza Naqvi | Dec 10, 20252025 Mini Cooper Convertible Review: More Colour On Indian RoadsThe updated Mini Cooper Convertible is set to be launched in the Indian market in the next few days. We drive it around Jaisalmer for a quick review.1 min read
Bilal Firfiray | Dec 8, 2025Tata Sierra Review: India’s New Favourite?Marking its return after a few decades, the reborn Sierra has made everyone sit up and take notice. But is it worth the hype?10 mins read
Girish Karkera | Dec 4, 20252026 Honda Prelude First Drive: Domesticated Civic Type RA sporty-looking coupe built to give customers a taste of performance but not at the expense of everyday practicality.5 mins read
Seshan Vijayraghvan | Nov 29, 2025Mahindra XEV 9S First Drive Review: Big Electric SUV, Bigger ExpectationsThe XEV 9S lands at a time when the EV crowd is growing fast. It’s a big, born-electric, three-row SUV that starts under 20 lakh. It sits close to the XUV700 in size, but the brief is very different. Here’s what it’s like on the road.11 mins read