Treasury nets ‘£46 in tax’ from average full tank as fuel prices set more records

Business

There has been no let up in the pace of fuel price increases, with pump costs hitting new record levels over the weekend, according to the latest figures.

Data from Experian Catalist showed the average cost of a litre of unleaded hit 185.04p on Sunday while diesel – the engine of the UK economy – rose to 190.92p.

The RAC, which has previously called for action on fuel duty and VAT to curb rising bills, said it meant that the Treasury was now netting around £46 in tax from the average full tank.

The data showed that diesel actually reached a record high above 191p on Saturday before declining slightly the following day.

Motoring organisations said the latest figures meant that petrol had risen by 7.16p during the course of last week.

Diesel saw a hike of 5.91p.

However Luke Bosdet, the AA’s fuel price spokesman, said there was hope ahead of a stabilisation for prices ahead following the surge of the past couple of weeks as the wholesale price of petrol was currently down on its peak achieved earlier this month.

More on Cost Of Living

“Petrol price rises should be grinding to a halt, at least temporarily, by the end of the week”, he noted.

“There may still be some forecourts yet to pass on the recent surge in costs.

“If they continue to go up substantially afterwards, we will be intrigued to hear what excuses the fuel trade has this time.

“If prices keep going up, they will give the government further justification in its call to the Competition and Markets Authority for an investigation.

“Diesel’s relentless surge in costs remains a nightmare, with its knock-on impact for the cost of delivery of goods and services, and therefore inflation.”

Articles You May Like

Piers Morgan to leave Murdoch’s News UK in deal over YouTube venture
Minister accuses Tories of being ‘bandwagon jumpers who don’t care about children’ over grooming gangs inquiry calls
New Orleans pays tribute to New Year’s attack victims with ‘outpouring of love’ at vigil
Myanmar frees more than 6,000 prisoners to mark anniversary
Draft order for the first 18 picks: Titans, Browns, Giants in the top three