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Clamour to postpone fuel duty rise grows

By the Press Association

The Press Assocation

The Press Association is a news wire with a large reporting team. We use it for additional stories on mainstream issues. Views represented do not necessarily reflect those of MoneySavingExpert.com.


12 November 2012

Update, 13 Nov 9am: Labour's call to delay the tax hike until at least next April was yesterday defeated by 282 votes to 234, a Government majority of 48. The Government has however hinted that a planned fuel duty rise could be axed in the autumn statement next month.

There is growing pressure today on Chancellor George Osborne to abandon the Government's controversial 3p-a-litre increase in fuel duty planned for January.

Labour is calling on the Government in a key Commons vote this afternoon to delay the tax hike until at least next April, claiming families and businesses are in desperate need of some good news from the Exchequer.

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The campaign group FairFuelUK previously said it believes the tax hike will raise only 800 million, compared to Treasury projections that it would bring in 1.5 billion.

Meanwhile consumer organisation Which? says more people than ever before are being forced to cut back on motoring because of spiralling prices at the pumps.

Its latest poll found a record 85% of people expressed fears about rising costs a nine point increase since July.

Those saying they would cut back on motoring costs rose seven points to 39% another record high while one in 10 said they had had to dig into their savings to afford to run their vehicle.

Which? executive director Richard Lloyd says: "Consumers can little afford another hit on their household budget. We're calling on the Government to think again about their plans to increase fuel duty in January."

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