ONE thing’s for sure – fuel costs have been going down recently as the price of crude drops but thankfully the Chancellor George Osborne decided not to capitalise on this by upping fuel duty.
Phew! A result for business car managers trying to keep company car fleet fuel costs under control.
The details announced by the Chancellor announced today (03 December) is that fuel duty would remain frozen at current levels and that the price-based trigger point for changes to both the supplementary charge and fuel duty, set by the Fair Fuel Stabiliser in 2011, would be abolished.
With an election round the corner it’s little surprise that the Chancellor chose not to revive the fuel duty escalator, even though oil prices are down
Paul Hollick, commercial director of fuel card and mileage solutions business, The Miles Consultancy, said:
“With an election round the corner it’s little surprise that the Chancellor chose not to revive the fuel duty escalator, even though oil prices are down.
“But the UK’s finances mean there will be a strong temptation to drive fuel taxes up again after next May. By closely managing fuel costs and mileage expenses to minimise their spending, small SME fleets can maintain downward pressure on fuel prices and inoculate themselves against future bad news from the Treasury or OPEC.”
