Comment from Brian Madderson, Chairman of RMI Petrol on the Chancellor’s Budget:
“RMI Petrol positively welcomes the Government’s decision in today’s Budget to cancel the fuel duty escalator due on 1st April. With the 1.00ppl headline increase, the Retail Prices Indexation adding 3.00ppl plus VAT at 20%, we predicted that this would have imposed an additional 5.00ppl onto the pump prices of fuel.
“This legacy of the Labour Chancellor, Alistair Darling, who never consulted industry and ignored the plight of the UK motorist, would have had a severe impact on economic recovery at a time that is already one of the harshest that consumers and businesses have had to endure in many years.
“RMI Petrol had recommended that the Government reduce fuel duty immediately to be funded by the windfall tax gains accruing from the 20% VAT rate on higher pump prices. Therefore the news of the immediate 1ppl duty cut has been very well received by forecourt operators and their customers.
“We look forward to working with The Chancellor and his advisers as they consult with industry on fuel issues in the future.”