"The freeze on fuel duty continues the very positive policy of the last government and will give a massive boost to business confidence,"
(PRWEB UK) 25 July 2015
The nation's major logistics sector representatives, the Freight Transport Association (FTA) and the Road Haulage Association (RHA), have welcomed this month’s announcement that fuel duty is to be frozen in the UK for another 12 months.
Unveiled as part of the chancellor's new summer Budget, the freeze will mean duty will be maintained at its present level for the remainder of 2015, at a minimum (https://www.gov.uk/government/publications/summer-budget-2015) .
FTA deputy chief executive James Hookham commented: "The chancellor has listened to the voice of industry by keeping fuel duty at current levels, which is to be welcomed.
"However, the government has emphasised that its primary objective is to protect the UK economy. We believe that reducing fuel duty would make a huge contribution to this objective."
The FTA has cited research showing the positive impact that a 3p per litre cut in this tax could have for the economy as a whole. Indeed, he claimed that the high level of tax on fuel at present means that the UK has witnessed just a 13 per cent average cut in prices at the pumps in the last year, despite a 43 per cent drop in global oil prices.
Meanwhile, RHA chief executive Richard Burnett echoed this sentiment, stating that while his organisation would rather have seen a 3p per litre cut in duty, the fact that prices will be maintained at their present level for another year is something to celebrate.
"The freeze on fuel duty continues the very positive policy of the last government and will give a massive boost to business confidence," he concluded.