fuel duty dropped by 1p as of tonight

[phi-dan]

Originally Posted by G

I really feel for people in the sticks with no petrol station competition or supermarket fuel.

Supermarket fuel down here is 133.9 (when I filled up last night)
Non-supermarket stations are few and far between, so the supermarkets set the price (high) and everyone else follows.

Nice sentiment but... Barn door? Horse gone?

[andrewsmith]

Well everytime the refinery price goes up a penny (per litre) the Treasury makes about 1p too in VAT, or in english £500,000,000 a year.
That is plus the gains from the 2.5% VAT increase, another £1,000,000,000 (at least)

It is a case bolting the stable door after horses gone.
If they do want to make the economy grow; cut duty by 10p as all the calculations for the last budget was done on 122.9 (average pump price- predicted)

[TamSV]

It's interesting to note how the fuel duty cut is being funded.

There's an increase in a supplementary tax being charged to the oil companies. They will need to get that extra tax from their customers. So fuel duty comes down but the underlying price of fuel increases.

If the oil price falls to the level where the supplementary tax is no longer paid then the pump prices could be reduced. However, at that point, the fuel duty increase comes back in.

Smoke and mirrors anyone?

134.9 at every petrol station in Macclesfield, stupid prices so a penny off aint gonna make an indent as far as I'm concerned

[Nick_69]

Ive been finding the all the local shell's around me are bout 131.9 and everything else is bout 133.9

[timwilky]

About £1.28 round here

According to the BBC news site the key points say fuel duty dropped by 1p, but then further down that road tax will increase with inflation apart from HGVs. Isn't inflation 4.4% at the moment???

SV tax going up from £38 ish to just over £40.

Technically it should be a 1.2p drop at the pump as you pay VAT on the Duty, which is 20% I'll bet it's not though.

Originally Posted by tom-k6

how did you manage to put £21 in an SV??!! fuel must be mega high in london. it will bring my cheapest fuel station near me down to £1.26.9

Even at £1.27 you'll still be paying over £20 if you almost empty it.

1p will make bugger all difference, even the cancelled 5p rise will make bugger all difference.