News

Osbourne cans 3p fuel tax

Time 3:51 pm, December 5, 2012

CHANCELLOR George Osbourne has cancelled the 3p fuel tax hike planned for January.

There was concern that the 3p fuel tax rise – originally set to come into force early next year – would go ahead as planned, or even be postponed.

Osbourne, however, announced in today’s budget that it would be scrapped altogether – coming as welcome news to the UK’s motorists, and described by the chancellor as a ‘real help for families, and for companies too’.


However, though the scrap-age of the hike is undoubtedly good news for motorists’ wallets, there were no mentions of any changes to the current car tax system – something which is anticipated to change in the wake of falling revenue.

Speaking at the end of November, CAP warned motorists to take notice of what was likely to be announced with regards to vehicle excise duty, stating that it’s no longer a case of whether the government will act, but how.

The lack of an announcement on the plans is understandable, though – CAP suggest that the chancellor can really do nothing right in the eyes of many.

‘Clearly the whole issue is a minefield,’ commented CAP’s Mike Norman, ‘and the only certainty is that whatever option the Chancellor chooses will be fraught with difficulties and ultimately prove unpopular with motorists.’


Jon Reay's avatar

Staff Writer Jon is one of the Car Dealer team's newest members. You can also find him contributing to AOL Cars.

More stories...

Advert
Server 51