Relief for drivers, as Chancellor George Osborne scraps 3p a litre rise in fuel duty due in August

Norwich MP warns scrapping planned 3p fuel duty increase could cost treasury £1.5bn

Tuesday, June 19, 2012
11:22 AM

Scrapping plans to increase fuel duty by 3p a litre could cost the treasury up to £1.5bn, it is claimed.

Norwich North MP Chloe Smith was asked to tell parliament what assessments the treasury had made about the proposed change, due to come into force from August, on jobs and vehicle use.

Nadine Dorries MP also asked what the estimated cost of not proceeding with the policy would be.

Miss Smith, economic secretary to the treasury, replied yesterday: “Office of Budget Responsibility (OBR) certified forecasts of the fiscal impacts of government policy decisions are presented at budget and autumn statement.

“The OBR reported in September 2010 that changing fuel duty by one pence a litre has an effect on the public finances of around £500 million.”

5 comments

Chloe - get real, cut back on foreign aid!

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biglingers

Tuesday, June 19, 2012
Chloe - get real, cut back on foriegn aid!

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biglingers

Tuesday, June 19, 2012
Is this the same Chloe Smith who refused to debate the economy on Newsnight when put up against Rachel Reeves, and then confused the deficit and debt? Hmmm.

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Jono

Tuesday, June 19, 2012
Doesn't she think it's about time the public stopped paying for the poor financial decisions of the government? We are taxed on everything from the water we drink to the clothes on our back, and fuel is expensive enough as it is! At least I now know how NOT to vote for.

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DJM

Tuesday, June 19, 2012
other countries have cheaper fuel.Rip off UK.

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bookworm

Tuesday, June 19, 2012

Norwich MP warns scrapping planned 3p fuel duty increase could cost treasury £1.5bn

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