Hundreds of MPs and the campaign team FairFuelUK have called for a 3p cut in fuel duty. It is quite clear, and backed up with evidence, that such a cut would benefit the economy and the Exchequer. The freeze in duty has been a contributory factor in economic growth; it’s time to cut duty to further stimulate the recovery.
MPs, together with representatives from FairFuelUK, Freight Transport Association and Road Haulage Association, have today delivered a letter to George Osborne calling for the fuel duty cut. He should heed the call and bring some relief to businesses and consumers.
The letter contained the results from a survey conducted by FairFuelUK which shows 75% of drivers said they want a real cut in duty with 92.4% supporting a cut or, as only a last resort, to continue Osborne’s freeze on the levy.
Howard Cox, founder of the FairFuelUK campaign, said:
“The Chancellor knows very well through our extensive empirical evidence that cutting fuel duty is proven to accelerate growth in GDP, it also creates more jobs, helps inflation, increases consumer spending and business investment.
These benefits have been acknowledged by the Treasury itself plus economic experts such as NIESR, CEBR, IMF and the Bank of England.
In fact, in April 2014 the Treasury said that low fuel duty actually helps the wider economy and that GDP will rise by 0.5% by not enacting Labour’s previously planned fuel duty escalators, giving drivers more to spend.
It’s no coincidence the current economic renaissance is as a result of the recent sustained period of lower pump prices.”
This is a no-brainer for me, this exactly the kind of stimulus we need. The UK has the highest diesel prices in Europe, we have the highest fuel duty in the western world and, if you factor in VAT (including the VAT put on the Duty itself), then this is particularly punitive tax regime under which 37 million drivers are suffering. It’s unnecessary, it’s an economic hindrance, and it’s time to take action to alleviate it.
Ben is a writer, editor and Brexit campaigner. He advocates a counter-revolution to achieve the restoration of constitutional liberty and national independence. He blogs at The Sceptic Isle. Follow him on Twitter: @TheScepticIsle
The views expressed in this article are that of the author and do not necessarily reflect the views of Conservatives for Liberty