The Chancellor must scrap the 2p fuel duty rise

2946 Comments | Add Comment | Blog entry posted 10th March, 2008

On Wednesday the Chancellor Alistair Darling will unveil the 2008 budget, and with it, a series of tax hikes on motoring. The government is still planning to press ahead with a 2p increase in fuel duty, to take effect from April 1st 2008, despite increasing fears over the state of the economy and new record oil prices being set each week. Oil prices reached a record $107.44 on Monday morning.

Figures from PetrolPrices.com show that the price of unleaded has shot up 18.1p per litre in the last year. At the beginning of March 2007 a litre of unleaded cost 88p. Both unleaded and diesel are at record highs – unleaded is now 106.1p per litre and diesel is 112.5p.

Despite the impact record prices are having on motorists, on the haulage industry and on inflation, it’s likely believe that the Chancellor will push through the price rise anyway. Many believe he is scared of being labelled as a hypocrite – this year’s budget has been billed as the ‘Green Budget’, and cutting fuel duty would not be in line with the overall message the government wants to convey.

Other methods of taxing motorists are expected to be announced too, for example taxing gas guzzling cars out of existence, by adding a ‘showroom’ tax of £2000 to the most heavily polluting cars, and colour coding tax disks by carbon emissions. This would make it easier for local councils to identify and penalise high polluters, possibly by charging 4×4 owners more for parking.

But why does the Chancellor need this extra revenue? Rising fuel prices caused by oil price rises have been bad for motorists, but good for the government. Compared to the Pre-Budget Report in October, figures suggest that the Treasury has received an extra £1.2 billion in revenue because of the tax on North Sea oil. This means Mr Darling could easily afford to scrap the 2p increase, which estimates suggest would cost £1 billion.

If the Chancellor doesn’t scrap the increase, and the conditions in the economy and the oil market continue, pump prices will hit £1.50 a litre this year – the equivalent to well over £6 a gallon. This would have a catastrophic effect on motorists, the haulage industry, and therefore inflation and the country as a whole.

Motorists across the UK are now having to adjust their driving habits because of the price rises – many now take fewer non-essential trips, have switched to smaller or more efficient cars or drive slower to get the most out of their tank. Green lobbyists see these changes as evidence that hitting motorists financially is the only way to curb carbon emissions, but it’s possible that going ahead with the 2p fuel duty rise and continuing to target motorists could cost Labour much more than a few pennies at the next election.

Should the 2p rise be scrapped? Have you changed your driving habits as a result of fuel prices? Are green taxes stealth tax or will they help us cut our carbon emissions?

Replies to The Chancellor must scrap the 2p fuel duty rise

Driver08 March 20, 2008

report reply to Driver08

Its about time a fair system for "taxing" the motorist was put into place. Perhaps working on a benefits system rather than a charge system. Encourage the motorist rather than penalise.

Charge a fixed fee of tax on a litre of fuel, not work on % of pump price.
The chancelor has probably already received income over and above what they were expecting with the continious in crease of pump prices.

Michelle Bell March 20, 2008

report reply to Michelle Bell

Please do not put another 2p on the petrol as I will not be able to afford to go to work.
When you put the price of petrol up it affects all areas of daily life as everything is transported to London at some point and that means basics like food will go up. It will end up being a third world country. Or at very least the poor of this country will end up a larger percent, then crime will follow.

Labour Conned March 20, 2008

report reply to Labour Conned

Don't go to work, It's easier and more profitable to go on the dole, especialy if you'v got loads of kids, don't dare love England or you will be accused of being a racist, and we all know there's no point in being law-abbiding any more, as you only get a slap on the wrist , (that's if you'r unlucky) as all the jails are full of foreign criminals that we can't deport because of their uman right's.

Brian

Mike Clemson March 20, 2008

report reply to Mike Clemson

i run a small gardening business i find the costs are allready 2 high when is enought -enought ???????????????????????????????? i thought gordon brown was going 2 be better than the last egg head BUT NO he is the same
just a lier / a traiter to the british public & the country

Richard Hammond March 19, 2008

report reply to Richard Hammond

It is about time we all stop talking about it and we all stand together and do something about the price of fuel but we are british and always let the goverment walk all over use its time to stand up and be counted if we all stand together they would have to do something but that will never happen

Alan Bury March 19, 2008

report reply to Alan Bury

Remember the largest british petrol companies recorded record profits last year!!
Between the government and the petrol companies greed, something has to be done to limit this extortion. Now food suppliers are using this an reason to put prices up. I do not understand why the petrol price can vary around the country; actually I do understand it is also due to greed. Take tesco for example they obviously look at other suppliers in the area and alter their prices to 'match' so they can make as much profit as possible, why not offer the motorist a real deal and keep petrol prices competitive across the counrty.

R Mcshane March 19, 2008

report reply to R Mcshane

For me to get from where I live to work, I have to drive. Public transport is not an option. also, my hubby is disabled, so a car is essential for him too. I only earn £5.60 per hour. Yet another example of beating the workers down further!

Adam Enough March 19, 2008

report reply to Adam Enough

If it goes up 2 pence then i'm quitting my career. I already have a 30 min drive to work and after interest rates, RPI and inflation, it really doesnt pay me to work in the UK anymore. I dont have children, hence I get no tax benefits. If it goes up 2 pence or more in the next 3 years, I will definately consider leaving my Blue Chip company and move to Australia, where the government is run by people - not hyped up, overpaid MP's, who only vote immigration rights in!

Barrie March 19, 2008

report reply to Barrie

Petrol prices on the continent i.e. France, Germany, Italy, are now taking in the latest price in the UK, 26p per litre cheaper and I just wish that The European Community across the channel were able to control these excessive prices in the UK where drivers are subsidising this useless government, has us by the balls as it, as that Brown no longer has a mandate to govern it is high time he called and election and went back to where he belongs.

Tony March 19, 2008

report reply to Tony

Fuel is way too expensive, leading to higher inflation. Everything we buy (food, clothing, home maintenance products) has to travel by road. Adding
taxes to fuel hikes up prices, which have to be passed onto the consumer.

Only a fraction of the revenue paid by the motorist is put back into the roads. If governments are so short of cash, they could start fining people for under age drinking, smoking etc. That would bring in millions!In addition, the governments (both national and local) are extremely wasteful with taxes from our hard earned income. A friend in a local government authority can vouch for how wasteful their organisation is. If this were private enterprise, they would have gone bust many years ago.

So... governments look at minimising wastage, reduce fuel duty, fine offenders such as drug addicts, under age drinkers and smokers so they can live off the benefit system.

Andrew Smith March 19, 2008

report reply to Andrew Smith

i honestly think its time we outed the goverment why do we put up with it they just wont give us break petrol prices sky high gas bills sky high electric bills sky high council tax sky high & then they want us to pay seperately to empty our bins i think we would be better off if we gave the goverment the whole of our wages & let them give us spending money because sure enough has eggs are eggs the unemployed & asylum seekers will have all the houses to live & the most money to spend LETS STAND UP FOR OUR RIGHTS TO LIVE GET THEM OUT

Robert D. Heyhoe March 19, 2008

report reply to Robert D. Heyhoe

I think the days of politicians especially this lot being Toffs has long gone, you are more likely to find Scottish Muggers/Robbers/Thieves or dimwits voted in by the Unions aka Prescott. Thus their IQ's are down in single figures and can only think of what wll benefit themselves not the Country in general. If it hadn't been for the huge cash mountain built up by the previous Tory Party wee Gordon Bruin would have failed in his first term. As it is we now have Trillions of defict, no gold left in the mint, Insurance companies with nothing left to plunder.

Lee March 19, 2008

report reply to Lee

Why dont we bring the country to a stand still like last time get the goverment to lisen to the people, if no one does anything the goverment will just increase the fule price thought out the year, soon we ill be paying 1.50 for are petrol, and for what becauseth efule is getting no better, even with high tax on cars it still not reducing carbon emmissions, it just paying the govement more money to spend on there high emmissions Jags cars

G.mcgregor March 19, 2008

report reply to G.mcgregor

What a load of B****x...Fuel is going up 2p per ltr per week. who is going to give a s**t about 2p rise in 6 months time,
since Aug 07 diesel has gone up from 88p p/ltr to £1.13 ...thats 25p per ltr and rising.
So that is at least (in only 7 months) £12.5 billion windfall for this very clever government.
that's apart from the £2000 a second it makes in overall tax from us BRITISH / UK MUGS,
What are you going to do ???..................
WALK......Ride a Bike.....Get the Bus / Train /
As soon as the majority cant afford Fuel for their vehicles they will use public Transport. and then watch the Fares ROCKET.
We are a Disunited Nation of Overtaxed, Overworked, Underpaid, Over Legislated, Morons, Who cannot Stand up for our rights and are more interested in Bitching about everyone alse that when it all comes crashing down we will be wondering why it happened and who to blame..
Gary McGregor....Big Brother is a COWARD

Mike March 18, 2008

report reply to Mike

It's only a matter of time until taxpayers turn to crime to attempt to keep their head above water. For example (and one of many) Criminals are already stealing our cars and driving onto the forecourt of many petrol stations, before filling up and driving off without payment. Is the taxpayer going to follow suit? The government need to take a step back as not everyone cannot afford these prices. It doesn't mean that people will stop driving or sell they car. People will turn to crime to make ends meet and the government (although crooks themselves) are forcing this position onto the nation.

Vanessa March 18, 2008

report reply to Vanessa

Instead of futher rises on our fuel prices if the government need more money maybe they could use our taxes properly instead of furnishing their second homes!! What has happened to the money raised from increasing car tax, previous petrol price increases and the revenue from congestion charges and toll charges? Have the government all scrapped their cars for less fuel guzzling makes or using public transport or maybe even walking or cycling?
One rule for them, one rule for the rest of us!!!

Marc Julyan March 18, 2008

report reply to Marc Julyan

Lets all do our duty and vote at the next election, we need a consistant government, and fuel duty, road fund licences and VAT needs to be reduced or at least not increased, all business small or large are raising prices to compensate for these increases that this incompetent government is making it cannot see what damage it is doing to the country...... cheaper to go abroad for transportation, manifacturing, materials etc etc etc. It will take a strong government a long time to pull us out of the mess the labour party has got this country into..... Marc

Me March 18, 2008

report reply to Me

Petrol is already stupidly high these days. Soon at this rate it would be better to just sell my car and just take buses

John Winn March 18, 2008

report reply to John Winn

I regard myself as "young thinking pensioner" The genuine Brit kids of today, have to make a straight forward decision when voting at the next general election. (I only refer to the Brit Kids who work for a living.)
Do they vote for a set of scroungers who make a good living for themselves who are in office and tax the Brit kids to the hilt. Or do they vote for someone else who are not scroungers. That is the decision it's as simple as that. Best of luck for the future kids. (and I regard anybody under 40 as a kid)
John.

April Tarabella March 18, 2008

report reply to April Tarabella

i am a full time degree student and have to work to feed my children and keep a roof over their heads. my job and course involve a lot of travel. Public travel costs are too expensive and time consuming. these fuel cost increases along with increase in supermarket bills are crusifying.

Labour Conned March 18, 2008

report reply to Labour Conned

Isn't it just typical,...according to reports from the sustainable development Commision, an environmenal watchdog, has found that two thirds of goverment departments were failing to meet the governments goal of cutting carbon dioxide emmisions, they also faild to to significantly cut water consumption, departments saw a 22 per cent rise in carbon amissions.

SO WHAT!....... So what gives a bunch of self serving hypocritically political correct bunch of losers the right to lecture us on global warming, yet at the same time increasing it's own carbon foot print.

It's all a big con to to make us the highest taxed in the world.

Brian.

Abul Bashir March 18, 2008

report reply to Abul Bashir

The government are still employing the triangle rule. The rich are getting richer and the poor working class man is getting poorer.
I don't believe that any of these comments will make a difference to the government as it is a choice between themselves as individuals, do they help the people or help themselves?

Robert March 18, 2008

report reply to Robert

Cant work out whats worse or ill concieved, the proposed 2p rise in duty or the goverments laughible rise in tax disc prices. The latter will generate yet more billions to create terror somewhere in the world.

Who voted these idiots in?

The sad thing is they call the tax disc Road Tax, but the money will never go near a single road.

Thanks to those mindless idiots they will probably destroy what is left of our car industry. Who will buy a 2nd hand range rover or discovery? So who is going to buy a new one when you know that in 3-4 years time you wont be able to give it away.

Its all very well saying it will encourage motorists to make an informed choice, but what if you already own one of these vehicles? If they were so green as they imply then they would offer a buy back program, or an upgrade service.

Make no mistake this is yet another bad ill concieved idea from the people who brought you such delights as the millenium dome, weapons of mass destruction in Iraq ....

So Is this a green policy by the goverment? No. Its just yet another stealth tax. None of the billions raised by this unfair and unjust tax will even be put to anything green. Well it might go to buying a challenger tank are they green? Or a new jet fighter, is that a green policy?

We are sick of you Brown and vanila head Darling. Please leave our Britian alone.

I propose a leavy on politicians that dye their eyebrows black.

The goverment should be looking at ways to cut congestion and reduce the time a car is sitting idle.

Saroush Malik March 18, 2008

report reply to Saroush Malik

Hi I think the 2p fuel duty increase should be scrapped as were are already paying a very high price on fuel compared to europe and other countries. THE Chancellor has gone mad about making more money from the british public, not making it available for the public sector where the money is really needed instead funding stupid wars on terror, yeah give us a break.

Sreve Toyne March 18, 2008

report reply to Sreve Toyne

The increase in fuel prices should definitely be scrapped. One way of saving loads of taxppayers money would be to withdraw all our troops from Iraq. The're not really needed there anyway. But af course. war is big business for many people, as is the petrol industry. So don't hold your breath!

Mac March 17, 2008

report reply to Mac

2792 Sam F, we are the idiots, they can afford to run thier cars and not be bothered how much a litre of fuel is because they get it paid for courtesy of the idiots, us, not only that but they have all got a free gratis account with John Lewis, 10 grand for a new kitchen, 1 grand for a new bed, etc.etc. common pet I'm sick of this kitchen we've had it a year now and the fridge/freezer needs a clean, if you don't know what I'm talking about find the Mail's web site and check out the front page lastFri or Sat.
2794 Jason M W Your not alone.
2795 Mick M good luck to you if you can go out and trade in your BMW for a Prius just like that, but the majority of people cannot, however if you're feeling a little flush and benevolent then why don't you invite some of the less fortunate to come along and buy them a Prius, I'm sure that they would be more than willing to let you have the trade in price of thier 15/20 year old banger's.
2799 Garry C same as I told 2792 Sam.

Ian Bradley March 17, 2008

report reply to Ian Bradley

I have just returned from Spain today,take into account I hired a car with a full tank of fuel and never used all of it ,but travelling around for the last week I have noticed all fuel stations in Spain on average are charging 1.16 euros per litre equivelent to £0.79 pence per litre in the UK.I live in Wales and need my car for work and travel 50 miles a day for a 5 day week.How can I survive to keep my job when I have to pay £1.07 a litre to travel every day,car sharing is impossible and has been looked in to.Where is this country going to.

Norman Whomes March 17, 2008

report reply to Norman Whomes

We need to get out of our comfort zone and protest strongly at the total increase in taxation that we have had to put up with over the last 10 years. Our roads get worse, we are penalised more and more and allowed to do less. The green issue is a total smoke screen. It comes down to personal freedom, and ours is being reduced more and more. No wonder so many British people are emigrating.

Alan Bone March 17, 2008

report reply to Alan Bone

This is exactly what happened last year - defer the increase until 6 months after the budget when it is out of everyone's mind then push the tax on fuel up yet again!!
There has to be constant pressure put on the fat cats who pull in all our hard earned cash under the title of tax (plenty to chose from) then spend it on refurbishing their 1st & 2nd homes, employ a few family members on large undeserved salaries, award themselves a even larger pay increase which is way above what the working man gets add on expenses for anything they have to pay for then come back for more money from us because the figures won't add up!!!!
IS IT ME? Let's stop it now before taxes (plenty to chose from) overtake earnings.

Pam Roberts March 17, 2008

report reply to Pam Roberts

I'm a mum of two, a resently registered childminder and a caravaner. After my local school closure I have to drive my children to school, as it's too far to walk. The buses are unreliable on only turn up every hour if i'm lucky meaning being at school an hour early at least. Also being a childminder i'm expected to take my minded children on educational trips. If fuel prices keep increasing then they will have to stop and OFSTED wont be happy. As a caravaner I have one holiday a year putting money back into our economy. But again fuel prices will stop these holidays. So my children cant go to school, I cant run my business without a car and I cant have a holiday. Does the govenment know what they are doing?

Robert Blake March 17, 2008

report reply to Robert Blake

This government seems to consist of priveleged people who all live inside the M25 and have affordable public transport available to them.
We live in a rural area, where locals have no choice but to use the car. Furthermore, we are a small business, & cannot easily absorb the huge cost of road fuel. The double wammy for those who live in the country is that their personal transport costs are soaring, & so is everything they buy from hard-pressed local businesses!
Will this government ever listen?

Starry March 17, 2008

report reply to Starry

I have just returned from the Canary Island and their petrol prices have hardly increased from last June - December. A litre of fuel is still only .85 cents under 1 euro. This Govt is taking the P out of drivers look at our roads not just the congestion but the state of them repair wise. No lighting on motorways for mile after mile. This is becoming an impossible place to be a real Brit! Not a happy bunny.

Labour Conned March 17, 2008

report reply to Labour Conned

Let's remember the mess Broons made of running our country, and this time let's remember it at ellection time, and never let the bunch of lefty loosers in again.
Brian.

David Mole March 17, 2008

report reply to David Mole

The steady rise in fuel prices at the pumps is already bringing the chancellor a bonus of millions of pounds in extra taxes. I see no reason why he should penalise the motorist further by heaping yet more tax onto the price of fuel. Not only does it hit the motorist, it hits the prices in the shops and fuels inflation - then interest rates go up to counter inflation which the government has brought about by profligate spending and unnecessary tax rises on fuel.

Baz Hamblin March 17, 2008

report reply to Baz Hamblin

No one drives for fun in this country; the roads are too congested and too badly maintained. Public transport here in rural Somerset is virtually non-existant and horrendously expensive. We drive cars because we have to and this government knows it. They are just bleeding us dry for taxes to pay for their incompetent administration of our country.

Philip Cross March 17, 2008

report reply to Philip Cross

It must be nice being a politician. A nice wish list to kit out your so called second home and an overly substantial pay rise each year. I'm in the wrong job! Even more annoying is the fact that most of them either A: get chauffer driven most places and don't have to worry about how much they put fuel up, or B: earn so much money that they still don't have to worry about fuel costs, or congestion charges come to think of it. Meanwhile, its us mugs that put them in power end up paying through the nose once again. Mr Cameron, if you happen to read this blog, if you promise to reduce fuel costs and bring them in line with the rest of Europe, then you'll get my vote and no doubt most of the UK's too. As for our current illustrious leaders, you'll soon learn that you have adopted the wrong approach in getting the British public on side.

Andy T March 17, 2008

report reply to Andy T

The only way to stop this government is to encourage all people to vote out this lot in the next election, to see the back of them doesn't mean that the policies of the new government changing. I hope people can see the point that inaction only gives creadance to those in the administratioin making the decisions.
In some sections of the economy the ressession has already taken effect.

A Concerned Citizen March 16, 2008

report reply to A Concerned Citizen

Ohh dear looks like we all done for then ...... very depressing reading all this .... I think il go back to my car forum website where i got the random link to this site from and look at wat mods i can make 2 car ... hey maybe ill get a few more mpg out of my car and that will pay for the 2p increase ....
And is it me or is it either u do something that the world agrees to or do nothing ... making this country green on its own will do nothing otha the ruin this country ..??

Anne Child March 16, 2008

report reply to Anne Child

Moving abroad is looking more like the most favourable option. Who will the government have to tax then?

Simon Vines March 16, 2008

report reply to Simon Vines

What a shambles, a Government who cannot tell the truth... I could stomach more about the fuel increases if they fessed up and said it was because they need the money due to poor management of the countries finances. But no, they pretend that it is wholly due to global warming - it is a cash cow as far as they are concerned. Do they really believe that we are that stupid that we cannot see this? ( Sadly I think they do)

If public transport was cheap and accessible I would not mind as much. However, it provides an inconvenient, expensive and unreliable service. For a single person traveling compared to a driving a sensible car (45+mpg), it is normally more expensive. Possibly acceptable for a single person, but a family of four? Come on politicians wake up and understand that until you give us a public transport service where people can get from their doors in the country to anywhere in the UK easily and cheaply, their car is their lifeline. Oh of course, having a decent public transport system is not going to happen when it has been privatised to generate money for the Government and each transport company then wants to make even more money from us for profits.

Let's make a bargain Gordon Brown, no more increases in fuel duty, no road pricing until Alistair Darlings eyebrows go grey ;-)

Trevor Box March 16, 2008

report reply to Trevor Box

the goverment r punishing the motorist again taxes on high polluters y not tax the car companys who make the high polluters no he wont do that cuz the motive is nothing do with being greener its all abt the money motorist make te goverment alot of money greener has nought to do with it they may as well put on a cloak and mask stand and deliver its all a rip off

An Drew Waspe March 16, 2008

report reply to An Drew Waspe

yet again, the middle and lower class are hit hard by a goverment, that wastes money, fuel price increases and by 2010 tax on most cars will rocket, in the aid of global warming, load of rubbish its merely another money making scheme, by a goverment losing money. get them out now

Andy Allen March 16, 2008

report reply to Andy Allen

This is what the UK has come to squeezing every little tax out of the people and this is supposed to be a democratic govt of the people for the people and by the people. It's the same as roman days but in a suit environment, they increase taxes for the people but propose to increase MP's allowances. One rule for the rich and one for the rest.

Rebecca Carn March 16, 2008

report reply to Rebecca Carn

I have to drive to work - public transport would double the time it took with several buses and trains involved. This is on the days I don't have the school run. How are we supposed to cover the cost of living when prices are rising and wages aren't. Each year I am worse off.

George Hadfield March 16, 2008

report reply to George Hadfield

The Labour Government should not only scrap any idea of an increase on fuel tax but should reduce it.
The increase in fuel costs already is a national disgrace but when millions of people depend on using the roads to make a living, (as I do), it is the same as taking a pay cut. This government clearly are out of touch with the people, the country, the businesses, reality, and other countries and it clearly is reflected in the cost of fuel (and they put more of us on the roads in the first place!).
VOTE THEM OUT AS SOON AS POSSIBLE WITH A CLEAR MESSAGE AS TO 'ALL' THE REASONS WHY!

Samantha Lewis March 16, 2008

report reply to Samantha Lewis

I work in the community as a ot therapy tech and have incurred costs do to my job .
as have many other commuity workers.
It is essential to patients that contact is maintained however this is becoming increasingly under threat due to rise fuel prices.I personally will not be able to continue my job if fuel prices go up further this may then result in the loss of my job.so mr chancellor better think before he increases fuel prices or there 'll be a lot more people on the dole. not good for the economy.

further more cost of fuel affects every one not just motor owners, if we look at people travelling by bus, taxi they will put thier prices up so the people using public transport will also suffer.

Labour Conned March 16, 2008

report reply to Labour Conned

So what!.....It just about sums up the contempt this Scottish mafia snouts in the trough bunch of yobs has for middle England,....what we gonna do about it eh?

come on, bring it on.

bRIAN.

Pjamas March 16, 2008

report reply to Pjamas

I agree with Graham. I have to travel to my job although I would rather not have to. There are no jobs for me where my partner and I live and there is no public transport which would take me to my job. If this increase continues it will not be worth my while working and I know I am not the only one. Either I will claim benefits or I will leave the country....

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