Fuel hike becomes a reality
Fuel duty increased by 2.12p per litre today (April 1st), meaning the Treasury now takes an average of 66p from the cost of every litre of fuel.
The price hike has come despite promises by prime minister Gordon Brown that fuel duty would not rise again for a year after July 2008, insurance company confused.com said in a statement to the press.
The additional 2.12p per litre will likely have a significant impact on the cost of running both commercial vehicle fleets and company car fleets, and have come at a time when businesses are already under severe financial pressures.
Will Thomas, head of motor insurance at confused.com, said of the increases: "This fuel duty rise will not only affect drivers, but will eventually filter down to affect all end users.
"All services will be affected as businesses attempt to absorb increased running costs, and consumers increasingly find that public transport and delivery of goods will become more expensive."
Rising fuel prices may also have a knock-on effect on the number of vehicles sold, as drivers count the rising cost of living against the desire for a new car, adding further woes to the ailing British motor industry.
