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Smoke and mirrors, you are quite right. Sadly I doubt this budget will help much and it will cost us all in the longer term. Typical of the incompetence of this government. Sadly I don't envisage the other lot being significantly more competent.

Yes folks, it's me again.


It's time to end our addiction to oil and here's how we can do it:

A Twelve-Step Plan to End Oil Addiction (courtesy of The Oil Drum)

1. Stop deluding ourselves. The era of cheap, readily-available oil has ended. Prices may fluctuate, but the underlying trend is up, up, up. We have to get used to using less.

2. Demand that politicians take the issue seriously. Make it an election issue. Don't take 'we've got everything under control' as an answer.

3. Stop building new roads. They're a monumental waste of money, time and effort. They encourage, rather than ease congestion and besides, the growth in car travel that's used to justify them isn't going to happen anyway.

4. Divert that money and effort into measures that address the challenges of oil depletion and climate change.

5. Make a major investment in public transport. It needs to be better, faster, more comfortable, more regular and more predictable. It needs to cater for everyone, not just peak-hour commuters though they need a better service as well.

6. Make a major investment in broadband internet to allow more people to work from home and change tax and business practices that discourage working from home. The more car trips we can avoid, the better.

7. Electrify transport where possible. We should be electrifying commuter rail where it is not already electric and using light rail (trams) in the cities. On the other end of the scale, electric bikes and scooters can make a big difference in our cities. And electric cars show promise, though there's a lot of questions to be answered yet.

8. Don't use cars unless there's no alternative. Take the bus. Take the train. Switch to a scooter. Walk or cycle - both your wallet and your doctor will thank you.

9. Deal with other aspects of our oil dependence. Agriculture, for example, is highly dependent on oil. We're going to need to change the way we grow and distribute food. Let's get to work on that now, not wait until supermarket shelves start to empty.

10. Stockpile or manufacture vital products currently imported from overseas. When oil runs short, will that still be possible? Let's take stock now and work out what we may need to start stockpiling or making (again) in the UK.

11. Think local. Ending our oil addiction isn't just up to central government, though it can play its part. Communities can work together to make themselves more resilient. Join or start a Transition Towns group in your local area.

12. Accept reality. The age of cheap oil is over. It's not coming back. As individuals and as a nation, we have to adapt.

Ahhhhhhhhhhhhhh! Give with one hand............................! As a mobile hairdresser I am hit very hard now with fuel costs. The last thing I want to do is put up prices but it's so very hard!

TYPICAL!!!!!! Just as were getting used to slightly lower fuel prices the bloody government slaps a permanent 2p extra on it!!!!!
What the hell are they trying to do to us????
Make us use buses again.................LIKE HELL I WILL.

As a small business it's heartbreaking to see them hammer us once more. The amount of fuel I can afford to buy determines how many clients I can see.

It's a disgrace, just when we needed assistance they simply hit us harder.

They're a bunch of graverobbers!

We're already one of the highest taxed for fuel in the world! They take more than enough already and now they're grabbing more? What's it for? To pay for Bush's wars? Crazy.

Please don't judge all us Scots on that a-hole of a PM we have! He's a right peice of work!

Well we have got to get used to the fact that we no longer live in a "democracy"but rather a regime. As such the goverment can do what they like when they like, they only reduce VAT to make you think they are helping you - NOT THIS GOVERMENT - they has wasted the capital (and continue to do so)

As usual not only give with one hand and take back with the other.
But for the motorist take back TWICE as much with the other.

Any excuse to rob the motorist!

To the fanatic who posted (or is that junk-mailed) at No. 4.

There is far more oil in the ground then 'they' (western governments) want you to know about. Just how many living entities containing carbon have been deposited into the Earth's crust over the last 2 Billion years do you think? And how many of them have transformed and are transforming into a combustible liquid? I'd say quite a few and more than enough for a while yet (and no, I don't work for a car or an oil company, I just use my common sense and have a passing interest in science).

On the subject of the VAT sleight of hand. This government are unbelievably cynical in their attempts to duck the blame for the current mess we are in. Forget about fixing the roof in times of plenty, what about fixing the filing cabinet and just running things efficiently and cutting down on paperwork (and public sector imbeciles whose incompetence and almost unsackable existence costs us all)? I bet reducing bureaucracy and an addiction to red tape would be more effective in saving trees (and therefore, helping the environment) than any 'addiction' our current civilisation has to that nasty 'oil'.

Gordon Brown, we hate you, Brits are leaving England in their droves, along with others essential to the economy. It will come to the point where only the rich can drive. True saying.......Born free, taxed to death.

This is going to do nothing to bring the cost of transporting good down at all and in fact if you are VAT registered it means that you now effectively pay 2p a litre more as you can only claim 15% back.

I bet the government loved it when the cost of fuel came down and it was only a matter of time before they slapped their bit on again.

But why does nobody publish the tax as a percentage of the whole, petrol is 25p per litre before tax and duty, final cost is approx 97p a litre. So that's 97 divided by 25 multiplied by 100 which gives us a rate of tax of 388%.

Publish that in the papers and on the news

I am deeply disappointed by this strategy. Just when it appears possible that the government might actually understand the pressure ordinary people are under they pull a stroke like this. I do not see the logic- fuel duty affects everyone but the VAT only affects those actually buying in the first place, that is if the retailers will actually reduce their prices. Another stealth tax move by Gordon Brown. Does he really think we are not going to notice this?

As usual, they give with one hand and take with the other.
Thing is...... Dont matter who is in power, the national deficit is to the tune of several trilion, and the only ones winning are the gnomes of switzerland.
Should be worldwide law that an individual is only allowed to have a limited personal fortune...... a few hundred million should be enough for anybody... Surely to god?
The love of money is the root of all evil.

Get rid of Labour is all I have to say. they're taking the P***s

Is this not the last increase that was supposed to be deferred from earlier in the year?

It is just disgusting how this present labour government have such disregard when it comes to "helping" the people of it's own country run their lives. How much more do they think we can pay out? Are they actually wanting us just to stay at home and take benefits because it must be more cost effective by now?

I fill up twice a week ie 130 litres total so I can do my job and then kindly pay all the rest of my money in corporation tax, national insurance, income tax and pass on the vat!!!! (It's my own car so the government mileage allowances are about at 1996 level when it was about 30p per litre!!)

Of course there are millions like me paying the governments salary and pension, and to be treated so badlyit's just unreal. There is something seriously wrong with this present government.

If they actually realised, it is the people driving for work that keep the economy of this country financed and we need support, not more and more restrictions every day. Or do they think we just love spending all our cash on extortionately priced petrol - well obviously they think we are out on our jollies every day!!!! They really make me sick as they have not got a clue what we need.

This is mad - the government need to listen to the people - we dont want this - we cant afford this.

Hey UK Folks,
I moved to Australia last november, but I am still subscribed to the Petrol Prices newsletter.
I cannot believe the UK Fuel prices.
Over here in Adelaide, we are paying about 98cents a litre. which equates to about 42p a litre.
I am shocked to see the price of fuel is going up too!
I really do think its crazy!
Hope something improves for you all!

the government arent thinking of disabled drivers..we rely on our cads to be able to have the freedom of getting about..if they put the price of petrol up by raising the taxes on it then it is going to hit our benefits hard

They are only brrowing more and more because they know they will not win the next election and they won't have the worry of sorting the mess out. They just don't like to think petrol is getting cheaper. It's an easy tax. You can't trust them at all. The reduction in VAT will not make any difference and it's not on food any way. Gordon Brown should go and the sooner the better. But saying that who in the Labour Party would take his place.

Another tuppence ? Oh hell, where's my bus pass?

Yes the Government is giving with one hand and taking with the other, but it's not just motorists who are paying for it, it's every hard working tax payer.

This blog and related comments make it appear as though there are just a handful of us in the whole country who drive........people, there are millions of us!!
So where better to sting a population than in the place where it is so easy to do, it's like taking the proverbial candy from a baby.....folk have to have cars nowadays, we don't all live in villages and towns surrounding the factories where our fathers worked and their fathers before them, etc. they WILL drive no matter what, the Gov know this, hence the tax levels applied to fuel.

What we really should be doing is lambasting the lazy scroungers of this country who do nothing but sit on their rumps allowing the likes of me and you to pay for their 10 children's weeks supply of KFC, white lightning and Sky subscription. Whilst they winge and moan about how they are not getting the correct benefits that they are entitled to!!

Peak Oil, I realise that you're ideas are suggested in good faith, but really, it's not going to happen is it? We are too dependant on the technology based around fossil fuel, so until the scientists come up with an alternative as abundant as oil, priced the same, we're stuck with it and it's associated evils. We aren't as community minded as we were, and sadly, never will be.

The way in which this bunch of crooks, masquerading as The Labour Party behave, I am not suprised. Being devoid of any common sense, morals, or any concern for anyone but themselves, I'm afraid we are going down faster than an avalanche.

We know that fuel duty is due to rise by 2p, but remember he has put this rise off for a year or more? Also everyone is slagging the Labour government off with regards to fuel duty and VAT, but do you really think the other parties would be any different???? I DEFINATELY THINK NOT. Eveything started to go up when Maggie Thatcher was in power, remember her words, "If you want it, take it" and we all have been, and this is where we have ended up. May this at last be the end of Thatcherism??

Hike up fuel prices again what about DIESEL which never came down and is runnibg at about 16P above petrol at £105.9 so2P is going to be hard for people with diesel cars etc, i remember the goverment saying once run diesel as it is more efficient and ecconomicall and cheaper than petrol now that a lot of people have changed to diesel what have they done but pushed up the price WHAT A CONN

I have always felt that the government have charged too much tax on fuel, having moved to Canada and now only paying 76.9 cents for gas i believe more so than ever that the goverment just use the tax payers as an excuse to pull more money, its all a stealth tax that they know the public will NEVER stand up to them on. citizens of Great Britian, stand up and be counted

Considering the time this is the most ridiculous rip-off. Cheeky enslavement of people of Britain.

Wake up Britain and do not let Robbers (sorry bankers) get away with stealing your money - if you have not figured this out - the money will go on bank bailouts.

how can the 2.5% vat reduction possibly help if its negated by fuel duty rise - like food and goods transport prices will not benefit in the short, or even in the longer term and neither will any single one of us.

I think us Motorists are used as scape goats as usual. They say leave your car at home and use Public Transport then put the Fares up! Get a Bike get fitter and hit them where it hurts.

Basically, it's one big screw up of a government.

We best all pack our bags and go east whilst we still can!

We all know who the robbers are, but what have done about it? Talked about it, writen about it, but what have we really done? What we need to do is stop using are cars/vans, phone your boss and tell them you want be in today because he doesn't pay you enough to cover the price of petrol. Ask your boss to organise a bus to pick you and your work mates up. What ever you do, dont use your car. You pay tax on the money you work hard for, the money you spend, and the money you save for that rainy day, well let me tell you people we're up to our necks in it now, so do some thing. The government wants every one to stop smoking, if that happens we'll be paying a £5 a litre by Christmas, why because we're soft and have no back bone any more.

I am presently on assignment in DOHA [QATAR ] petrol price unbelievable ,i can fill a v8 land cruiser for 10 pounds and their are thousands of them here its time we got our moneys worth cut the price by half people use more so the profits the same to the goverment. Enviroment we in Britain seem to be the only idiots bothered by it as if You visit the countrys i have been in latly they couldnt give a HOOT how much fuel or energy they burn Dubai ,DOHA etc are lit up like christmas trees every day of the year so why is the issue of enviroment friendly always rammmed down the UK drivers throats if the rest dont care why should we as a nation put up with the excess burden of fuel taxes.

Typical of Labour to hit us motorists as usual easy target rather than do any useful governing and plug the leaks elsewhere eg NHS, Social Security, JSA, their pay rises which are in excessive amounts, illegals bleeding the country dry no once again they hit the easy option typical

I can't believe the selfish attitude of some people: petrol prices have dropped by nearly 30p a litre in the past couple of months, but a delayed 2p rise, in very special circumstances, is treated as some sort of conspiracy by those who think they should be using as much as they like for as little as they can get away with.

Get real, folks! Stop using any little thing as an excuse to push anti-Government views and look at the big picture.

And still the hard of thinking will vote Labour at the next election..........

It's a sad fact of life that all spending has to be financed somehow. Of course I want cheap fuel and I don't like the fact that in 12/13 months time I know there will be a fuel increase of at least 2p when VAT goes back up, but if the tax isn't on fuel it will be on something else. At least I have the opportunity to adjust my fuel consumption (see Peak Oil post). What really bugs me is public transport costing so much when that's already VAT zero-rated!

To those who have posted saying that the temporary cut in VAT will be of great help I have one question for you................which planet are you on???? The VAT cut will not make the slightest bit of difference to the thing that people spend the most on which is your groceries. Most food is already zero rated for VAT so there will be a miniscule saving there if any.

We have a government in power who are going to add £500 BILLION pounds to the national debt by 2015. They obviously don't care and know they have 18 months of power left before they are voted out, so they are ruining it for the entire country with their latest budget. They should be prosecuted for misconduct in public office as the legacy of this budget is going to be the drastic cut in services to allow for just paying the additional interest on the mountain of debt they are creating.

They are shameless!

This country depends on oil, not only for cars and lorries but for chemicals and plastics and lots of other industries.

Oil and gas power our electricity generating stations these use vast amounts of fossil fuel and cause amounts of pollution.

Use nuclear fuel to generate electricity, move the populus about by electric trains and trams in our cities at very cost effective fares, make charging stations available for electric cars and scooters, then everybody will be better off.

The above is cloud cuckoo land.

This government cannot afford to wean us off petrol and diesel.

A lot of people bought diesel cars for all the right reasons for economy and less pollution, WHY is diesel more expensive to make in this country than any where else in the world?

It's all about sustaining a morally and financially bankrupt government.

As for green taxes, global waring and recycling again these are al cons to think we are doing our bit for the planet, AGAIN it is to help the rich get richer and the poor ger poorer, in this and other countries.