Fuel tax frozen

LinkedIn +

Chancellor George Osborne resisted the temptation to raise fuel duty in the budget. There had been fears that he would take advantage in recent falls in the price of oil to increase the tax take.

The Freight Transport Association welcomed the decision, but said he should have gone further and cut the duty.

It reckons that every penny of fuel duty costs commercial vehicle operators £120 million a year, and a 3ppl cut would have saved around £350 million a year.

“A further freeze of duties is welcome but the Chancellor missed a chance to give a boost to the stuttering economy by reducing the tax on an essential business input,” said James Hookham, managing director of policy and communications.

Share this story: