Logistics UK is calling on the chancellor, Rachel Reeves, to reverse her decision to increase fuel duty by 5p per litre from September, writes Peter Brown.
Chief executive Ben Fletcher said its members are currently facing ever increasing cost pressures, most notably the sharply rising price of fuel. “Crude oil now costs over $110 a barrel, and the cost of filling up a large HGV has risen by 31% to nearly £1,000 in the past three months,” he said.
“With most logistics businesses operating on very narrow margins and unable to absorb this level of increase, we have made clear to government that the impact is likely to be higher inflation for everyone.
“The rise in fuel prices has already benefitted the Treasury to the tune of £42 million in increased tax take since the end of February, so it is right that the government now reverses its decision to increase fuel duty, which would provide a welcome boost to our industry at such a tough trading time, as well helping to reduce price rises on the shelves.”
