I dunno, do it right and it'll be OK. For example, I have a '68 Chev pickup... the gas tank is pretty much vertical and it lives right behind the seat, about 3" away from the driver and passenger. No extra "firewall", no nothin'. Of course it is vented out (good point). I bring that one up because that is NOT the Chev PU that got the bad rap for dangerous gas tanks- that was the next model with sidesaddle tanks and incidently I understand they are statistically no worse than anything else.
For me and the way I laid it out, it would be cost saving to be able to run E85 year around. And in some small probably immeasureable way, if I was to reduce primary tank size yadda yadda there may be an fe gain from the weight reduction and perhaps even less fuming of gas in the tank from less sloshing.
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No one sees the problem with this? It is neither safe (frank hates nanny's), cost saving, FE, nor space saving. The time to install will take more than what you will save by not stopping for fuel. There is no fire wall between the trunk and people seats. Venting would be in the trunk (bomb). Weight would wreck FE. It would cost you money and wouldnt improve FE. You would have a tank in your trunk, and logic tells you that when you would want the capacity (long trip) you might also want to pack some stuff. Good luck, I wouldnt do it.
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Point by point:
I don't see anything inherently unsafe about the concept.
It wouldn't save cost
except if: you have an E85 situation like mine and/or you use gasbuddy to check prices on your route so you know where the optimal place to fill is.
It wouldn't save fe unless you reduce primary tank size and weight... and even then...
It needn't suck up so much trunk space as to render the trunk less useful. There may even be another spot to tuck it- under floor, under trunk floor, under seat, under hood, who knows?
See above re: lack of firewall- big deal.
If tank is in any interior compartment... really, is running a vent hose outside, or tee'd into the vapor recovery system an insurmountable challenge?
Weight- another 5 gallons, another 30 lbs; another 10 g, another 60 lbs- hardly enough to "wreck" fe.
And finally, if you do it like I would (Master Scrounger/Repurposer) the money wouldn't be an object, or an obstacle.