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“Cut diesel duty now” urges RHA

3rd June 2008 Print
As the latest Road Haulage Association fuel comparisons indicate, the average UK cost of a litre of diesel has risen by 8 pence per litre since mid-May. That equates to an increase in operating costs for an average HGV of just under £5,000 per annum.

As a direct result of these increases, a haulier with 10 trucks will have seen its annual fuel bill rise dramatically to the equivalent of £50,000.

“This is clearly unsustainable", said RHA Chief Executive, Roger King. “If prices go on rising at this rate there will be precious little left of the UK haulage sector".

The RHA is angry about the huge variation in prices between petrol and diesel. Once these were priced similarly but now the difference between the two can be 12 pence per litre or more.

"This is clearly absurd", continued Roger King. "Today's clean diesel is environmentally better than petrol and users emit far less CO2. Yet it makes less sense now to buy a diesel car. We therefore strongly believe Government should reduce diesel duty so that the litre price is broadly the same as the petrol equivalent.

"We call upon Government to announce now, NOT in September, that given today's high fuel prices, the October 2 pence per litre fuel duty increase will not go ahead. Furthermore, we believe the duty on diesel should be reduced even further."

The RHA is also calling for Government to call the oil companies to account for the high diesel prices. "We have to import most of it so the depreciating pound has no doubt caused problems but not all can be laid it at its door", concluded Roger King. "Where is the global demand for diesel coming from and why have the refineries no taken measures? It's time Government took action before it's too late".