5p fuel duty cut should apply to the whole UK, says FTA

In response to the Treasury’s plans to extend an existing fuel rebate from remote island communities to more inland areas, a call to the government has been made by the Freight Transport Association to cut fuel duty by 5p a litre across the UK.

The fuel duty discount pilot scheme for remote island communities was introduced in March 2012, and applied to the Inner and Outer Hebrides, the Northern Isles, the islands in the Clyde and the Isles of Scilly.

Now the Treasury is asking petrol retailers and customers in 35 counties to provide details of prices they charge for petrol and diesel as the government prepares to seek permission from the European Commission to extend the rebate scheme.

The FTA said that the reduction should not only be applied to rural drivers but must be implemented across the whole of the country.

Director of policy and communications James Hookham said: “Today’s announcement by the Treasury is clear recognition that the government accepts the need for a cut in fuel duty. The proposed ‘rural’ 5p per litre cut will obviously help the UK’s rural economy, but FTA strongly believes that this should not be introduced purely in rural areas but insists it should be applied across the country. If 5p a litre cut will stimulate the growth in rural areas, just think what it could do if applied across the country.”