taxation - congestion charges

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Should road tax be charged by the mile? I heard today that in the UK the government believes the best way to solve congestion is to tax car users by the mile. Won't this infringe our liberties ..ie a box will have to be fitted to every car which will be able to monitor your movements, and shouldn't the transport system be updated first? If this is to be introduced to disuade people from driving (which I'm for being a cyclist) shouldn't people like myself who cycle everywhere to help the planet earn green compensation. Why all take and no give!