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FairFuelUK calls for further action on fuel duty

fuel pump prices

FairFuelUK has sent a pre-Budget thank you letter to the Chancellor of the Exchequer and asked for more action on fuel duty.

The letter says: “We would like to thank you for the 1 penny cut and freeze in fuel duty in the lifetime of this Parliament.

“It’s clear that you should have been given more credit for these fiscal decisions boldly made against the backdrop of the previous administration’s heinous fuel duty plans.”

It continues: “The pragmatic series of NIESR & CEBR evidence we presented to the Treasury in 2012 and 2013 showed that lower prices at the pumps benefits GDP, lowers inflation and generates new jobs.

“In fact, our latest 2015 CEBR updated research reassuringly shows that the combined effect of lower oil prices and your fuel duty policy since 2011 has saved the typical UK household over £365 a year.

“With over 26 million households in the UK, this equates to a £9.9 billion collective increase in household spending power.

“In the last 5 years of frozen fuel duty plus the very welcome 1p cut in March 2011, it surely is no coincidence that the UK economy has grown, unemployment is down and inflation nearly wiped out. A fact also endorsed by the Governor of the Bank of England.”

In the letter, FairFuelUK goes on to ask the Chancellor to deliver in today’s Budget on two key campaign issues if the Conservatives form the next Government.

It wants a future Government to cut duty on all vehicle fuels throughout the next Parliament by at least 3ppl.

And, it’s calling for a full and transparent inquiry into how prices at the pumps are managed in relation to the fluctuations of oil prices.

Quentin Willson, lead campaigner for FairFuelUK, said: "With The Treasury, Bank of England, CEBR and NIESR  all confirming that low road fuel costs significantly benefit the economy, uplift GDP and increase consumer spending, it’s time to reassure the electorate that the Government will continue to keep fuel duty as low as possible."

Howard Cox, Founder of the FairFuelUK Campaign, added: “All the good work in this Parliament in stopping Labour's planned tax hikes must not stop at just a continual freeze in duty.

“It's still way to high and remains the highest in the EU. Households across the UK have benefitted from £10bn of spending power because of the Chancellor's duty policy and recent falls in the price of crude oil.

“Our economic evidence has shown that cutting duty will continue to accelerate the country's recovery, generate jobs and keep inflation low.

“The new Government whatever the Party must not jeopardise this hugely impactful fiscal stimulus and must pledge to lower duty and also regulate fair pricing at the pumps for all vehicle fuels.”

FairFuelUK's Letter to the Chancellor can be read and downloaded by clicking here.

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