The Freight Transport Association has told MPs a fuel duty cut could throw businesses a lifeline and jump start the economy in a presentation at Westminster.
The event was organised so MPs could hear how high road fuel prices and high fuel duty are affecting consumers and businesses, and is part of the on-going FTA backed FairFuelUK campaign; the event was chaired by Robert Halfon MP and addressed an audience of MPs from across the parties.
As part of the presentation FTA managing director policy & communications James Hookham gave powerful evidence drawing attention to the huge impact of the cost of fuel on running a logistics organisation and the economic benefits of not going ahead with the rise.
Hookham (pictured) said: "In the run-up to the Autumn Statement it is vital that every MP is aware of what’s at stake from an increase in fuel duty from January.”
"FTA has take this opportunity today to brief MPs from across the House on the threats that the increase in fuel duty will create to businesses and consumers and which support our case that the Chancellor should not only postpone the increase in January he should in fact reduce fuel duty by 3p and kick-start the economy."
Within his presentation Hookham listed five things the FTA says everybody needs to know about fuel duty and why it should be cut:
- Petrol really costs about 60p per litre (excluding duty and VAT)
- Fuel duty is over half the total price that is paid at the time of purchase
- Fuel duty is a tax on work – it’s paid straight out of cash flow or household expenditure, not profits of savings
- Fuel duty is paid by everyone - businesses and hard working families
- A 3p per litre rise in fuel duty costs a 10 vehicle freight operator approximately £14,000 – that could be a person’s wages.
Read more on how fuel price cuts are not being passed on to consumers in the latest issue of Fleet News (November 22-December 5).