Thank you for your comments, actually your neighbour is in fact acting illegally, you are allowed 2500 litres per year for PRIVATE USE ONLY.

Vehicles using these fuels for capital gain, or in simple terms, for business use to make a profit cannot do so. Reasoning is that a self employed individual, or a company claims back the VAT quarterly on any business expense, and deducts the rest of the cost from their tax bill at the end of the year. Being a taxi driver he is either self employed, or employed by a company, fuel, servicing, and repairs to a vehicle are all legitimate business expenses.

Currently, the only exemptions from this are Government or local authority sponsored schemes, or the fact that he is actually declaring this fuel for the purposes of taxation. Here is the problem: many websites are giving misinformation, people accept this misinformation as fact, when it is illegal, yet, the people using this fuel are the ones who, if caught, will be fined; the objects of the articles are to cut this misinformation out and provide only the facts, you may notice i have said articles, part two is currently under construction.