Leap year 'will generate £56.3m in fuel duty'

Date: 29/2/2012

An extra £56.3 million in fuel duty revenue will be generated by the leap year, it has been revealed.

Due to the extra weekday on February 29th, more people will make car journeys to school and work, creating additional cash for the government, the AA stated.

It claims this gives the authorities a reason not to introduce the 3.02p a litre fuel duty increase currently planned for August 1st.

President of the AA Edmund King said: "February 29th is a nice little earner for the government, particularly when the leap year creates an extra working day."

However, he pointed out some of the earnings could be cancelled out by the extra bank holiday introduced for the Queen's Golden Jubilee celebrations later this year.

The Freight Transport Association recently called for the government to reduce fuel duty by five per cent and do away with August's planned increase, as this would save consumers and businesses up to £3.6 million.

Posted by Mary Treen