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Government scraps 3ppl August fuel duty hike

  • 26 June 2012
  • By Hayley Pink

The government is to postpone August’s 3ppl fuel duty rise until January 2013.

Following vigorous lobbying by the FairFuelUK (FFUK) campaign, culminating in strong industry and political support, including a threat from the Labour Party to force a vote on an amendment to the Budget legislation, chancellor George Osborne has announced the climb-down on hiking fuel duty today.

Quentin Willson, national spokesman for FFUK, says: “For months, FairFuelUK has pushed, argued, pleaded and proved to the government that scrapping the August duty rise would be essential to the economic future of this country. Thankfully, the government has listened.”

FFUK founder Peter Carroll adds: “Special thanks go the hundreds of thousands of people all across Britain who have signed up to the campaign.  There are serious longer-term issues to address on fuel taxation and pricing – but for today, we thank the government for listening and acting.”

The Road Haulage Association (RHA) says this is a “landmark” achievement by FFUK. Jack Semple, RHA director of policy, adds: “The FairFuelUK campaign has driven a change in the way that fuel duty is perceived.

“Today’s announcement will prevent further pressure being applied to the profitability and cashflow of UK hauliers in particular.”

Semple adds that the duty increase would have added £1,200 a year to the cost of running a truck. 

Freight Transport Association MD of policy and communications james Hookham says the issue “went down to the political equivalent of penalties, but this time we’ve got something to celebrate”.

He adds: “It means a lot more cash in the pockets of operators for the rest of the year. The chancellor seems to have got it, so now we need to have a more structured debate about a long-term strategy for fuel duty – we can’t keep fighting ahead of every Budget.”

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Article source: http://www.commercialmotor.com:80/latest-news/government-scraps-3ppl-august-fuel-duty-hike