Treasury ‘must end fuel tax plan’

Business leaders have called on the Treasury to scrap plans to introduce a 2p increase in fuel tax in the Autumn as the price at the pump surges.

The British Chamber of Commerce said businesses were being pushed “to the absolute edge” by the costs.

The comments came as the price of a barrel of oil reached hit a record $135 – twice what it cost a year ago.

The average UK price for a litre of unleaded petrol is now about 114p, while diesel costs, on average, 126.4p.

The path of UK petrol and diesel prices

This makes petrol 18% more expensive than a year ago while the cost of diesel on the garage forecourt is 30% higher.

The fuel tax rise, announced in last year’s Budget, had been due to come into effect on 1 April but will be postponed due to soaring crude oil prices. Continued…

Source: BBC News

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