Chancellor George Osborne has confirmed the January 2013 3p per litre fuel duty rise will be scrapped entirely.
The abandoning of the rise follows numerous postponements of the proposed 3p hike. Now, however, the Government has confirmed fuel duty will be frozen until more beneficial economic circumstances emerge.
It was thought Osborne’s autumn budget statement would only see the increase put off until April 2013. However, the fuel price escalator unpopular with the private and commercial driving population has been cancelled completely.
Reinforcing his announcement in Parliament, Osborne highlighted:
“This is a real help for the cost of living for families as they fill up their cars across the country.”
The news has been met with acclaim by motoring bodies and associations. Chief Executive of the Institute of Advanced Motorists, Simon Best:
“Cancelling the rise in fuel duty will help to keep Britain’s economy moving. It’s not just good news for motorists – from supermarket food deliveries to life-saving emergency services, the nation depends on its roads. This is a saving for everyone.”
The news is a ray of light in an otherwise gloomy budget for the UK and will help cut or keep fuel costs at current levels for longer.
British motorists have already cut fuel consumption by 20% over the last two decades, but have contributed a staggering 144% more in tax on fuel over the same period.
What do you think of the latest autumn budget announcements? We want to hear from you below.
Amongst the otherwise dingy outlook for the motorists, there was one other point for praise however…
£1 BILLION SET ASIDE FOR ROAD FUNDING
Alongside the news of a fuel duty freeze in Chancellor George Osborne’s autumn budget statement, it was confirmed the Treasury would set aside a further £1 billion spending for road improvements.
It is estimated potholes cause 1 in 5 mechanical failures on UK roads – costing around £320 million every year – with Britain featuring some of the most poorly maintained carriageways in Europe.
After several harsh winters and another one forecast for this year, extra spending to repair the nation’s scared tarmac should reduce the cost to the motorists’ pocket without them having to pay increased road tax.
It should also improve safety, helping to reduce the UK’s rising road death rates. Smoother asphalt should give greater levels of grip, but extra spending on roads can also be used to employ better crash protection of roadside furniture.
According to IAM Chief Executive Simon Best, “cyclists, motorcyclists, car drivers, lorry drivers and bus and coach passengers should all welcome the £1 billion investment to our roads. Newer roads are safer and should cut journey times.”
What do you think of the state of the UK’s roads today? Do you think the £1 billion extra funding can help? Why not let us know.