FTA: Reducing fuel duty would help the economy

Date: 17/2/2012

Reducing fuel duty would save consumers and businesses up to £3.6 million, it has been claimed.

The Freight Transport Association (FTA) is calling on the government to reduce the tax by five per cent and do away with an increase currently planned for August.

It argued this will support the struggling UK economy and be a "simple and effective" alternative to the quantitative easing measures introduced by the Bank of England.

Managing Director of Policy and Communications at the FTA James Hookham said: "The billions that industry and consumers will save over a year would be invested elsewhere in the economy, giving the impetus to growth that is so badly needed."

He claimed the amount of money people in the UK have to pay for diesel is disproportionately high.

The FTA recently welcomed the Scottish government's decision to extend the Freight Facilities Grant by £4.5 million in 2014-15, saying it will help to meet carbon reduction targets.

Posted by Mary Treen