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Dated: 14 March 2011

The Ongoing Fuel Price Saga


In nine days time, the Chancellor, George Osborne, is set to deliver his second budget with many people anticipating he is set to cancel the planned 1 pence increase to fuel duty.

However, even if the Chancellor does drop the Fuel Duty increase, it does not seem like this will be enough to appease many motorists who are extremely disgruntled at the continued soaring cost of petrol.

With the average price of petrol now having reached 132p a litre, a recent ComRes poll for the Sunday Mirror / Independent on Sunday showed that 80% of those who participated thought that “cancelling the planned 1p increase in fuel duty in the Budget would not be enough to help motorists.”

The Labour Party has – as you would expect – launched several attacks at the tax policies of the current Government.

The Labour Shadow Chancellor, Ed Balls, said the following when speaking with Sky News, “I think he should act immediately on VAT. This was an own goal, he didn't have to do it.

“We are going to be urging Conservative and Liberal Democrat MPs to join with us in voting in Parliament to urge the Chancellor to cut VAT on fuel now and give immediate relief to hauliers and motorists across the country."

However, the sad fact is that even if fuel duty is not increased by 1p and the opposition convince the Government to drop VAT on fuel back to 17.5%, the price of petrol is still going to be much higher than many people would like.

A lot of motorists seem to be under the impression that there is not much that they can do - in terms of taking the matter into their own hands. This isn’t the case.

Tyres have a big impact on the amount of fuel your vehicle consumes.

By looking after your tyres, or by buying a set that are designed specifically for improving the fuel economy of a vehicle, you could find that you will not need to fill up your tank as much as normal.

Even small things, like making sure that the air pressure of your tyres is correct (if the air pressure of a tyre is too low, it will lose shape and cause extra drag), will help in your battle against the costly fuel pumps.

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