Scrapping fuel duty increase good news for motorists – Bridgestone
Following the announcement of the government’s Autumn budget statement, which included the news that the planned 3p rise in fuel duty in January is to be cancelled, Bridgestone has been the first to publically respond to what this means for motorists. In addition to the fuel duty increase cancellation, there will a 1 per cent cap on public sector pay rises for two years after the end of current freeze next year. Borrowing is £112 billion more over the next four years than previous forecasts, but debt interest payments are £22 billion less than expected.
Andy Dingley, communications manager, Bridgestone UK welcomed the decision not to increase fuel duty in January: “Today’s announcement that the planned increase in fuel duty has been dropped is welcome news for motorists and businesses at a time of austerity. The planned 3p a litre increase in fuel duty which was due to take effect in January would’ve added an extra £1.50 on the cost of filling an average petrol tank. With the cost of living ever increasing, scrapping this is a sensible move and will be welcomed by motorists and businesses that rely on the cars.
“High petrol prices are putting a huge burden on families, workers and businesses and the rising costs are becoming increasingly difficult to absorb. The coalition Government had little choice but to scrap the planned fuel duty increase and help ease the squeeze motorists are feeling. The key now is to keep costs at the pumps down for as long as possible.”
In a recent survey, Bridgestone found that a quarter of families reported that they may be forced to sacrifice heating their home in order to keep their car on the road and over 97 per cent of families are considering getting rid of a family car, simply because they can’t afford to run it with, one in six having already done so. The research also found that two thirds of people are already using their car less in order to save money as they are struggling just to break even after paying out their day to day living costs.
Earlier this year Bridgestone representatives were also amongst the first to go on record as suggesting that there could be a double-digit demand in tyre sales by the end of 2011.