AA calls for fuel duty extension and increase
The AA has called on the government to extend the 5p fuel duty and increase it by a further 5p.
Ahead of the Autumn Budget on 28 October, it has urged the Chancellor to support drivers as prices at the pump continue to rise sharply.
It argues that action on fuel duty would not only support private drivers, but could also help businesses contain costs and limit wider inflationary pressures. Hauliers, tradespeople, delivery companies, retailers and service providers all face higher costs when petrol and diesel prices rise, which can ultimately be passed on to households through higher prices.
Edmund King, AA president, said: “Drivers need the Chancellor to put the brakes on rising fuel costs. The first step must be keeping the existing 5p fuel duty cut, but with prices rising we believe the Chancellor should go further and cut another 5p.
“Fuel prices aren’t just an issue for motorists. Higher prices increase the cost of moving goods, making deliveries and running businesses, with those costs ultimately finding their way into household bills.
“As underlying fuel prices rise, the Treasury also receives more VAT. We believe the Chancellor should take that additional revenue into account and use the Budget to give drivers and businesses some breathing space.”
