Emergency budget preserves fuel duty rises this year and next
June 22nd 2010 The Government has declined to drop plans by the previous administration to increase fuel duty this year and next year. Instead it has promised no “new” increases in fuel duty.
In May, the previous administration increased fuel duty by 1p a litre as part of a programme of automatic fuel escalation originally launched in the 1990s.
Under this plan, further 1 pence per litre increases were due to be enforced in October and January 2011.
The budget does not make reference to these planned increases, so they are expected to go ahead.
However, Osborne’s budget outlined that the rate of fuel duty would then be frozen from 2011-12 for three years before a one pence per litre rise above indexation in April 2014.
The price of fuel will also increase due to the announcement of a 2.5% rise in VAT to 20% from January 2011.
Currently, fuel duty is 57.2p per litre, and VAT a further 17.9p. More articles from Handling & Storage Solutions: | 
