Most Popular
1. It’s a New Macro, the Gold Market Knows It, But Dead Men Walking Do Not (yet)- Gary_Tanashian
2.Stock Market Presidential Election Cycle Seasonal Trend Analysis - Nadeem_Walayat
3. Bitcoin S&P Pattern - Nadeem_Walayat
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
4.U.S. financial market’s “Weimar phase” impact to your fiat and digital assets - Raymond_Matison
5. How to Profit from the Global Warming ClImate Change Mega Death Trend - Part1 - Nadeem_Walayat
7.Bitcoin Gravy Train Trend Forecast 2024 - - Nadeem_Walayat
8.The Bond Trade and Interest Rates - Nadeem_Walayat
9.It’s Easy to Scream Stocks Bubble! - Stephen_McBride
10.Fed’s Next Intertest Rate Move might not align with popular consensus - Richard_Mills
Last 7 days
Stocks, Bitcoin and Crypto Markets Breaking Bad on Donald Trump Pump - 21st Nov 24
Gold Price To Re-Test $2,700 - 21st Nov 24
Stock Market Sentiment Speaks: This Is My Strong Warning To You - 21st Nov 24
Financial Crisis 2025 - This is Going to Shock People! - 21st Nov 24
Dubai Deluge - AI Tech Stocks Earnings Correction Opportunities - 18th Nov 24
Why President Trump Has NO Real Power - Deep State Military Industrial Complex - 8th Nov 24
Social Grant Increases and Serge Belamant Amid South Africa's New Political Landscape - 8th Nov 24
Is Forex Worth It? - 8th Nov 24
Nvidia Numero Uno in Count Down to President Donald Pump Election Victory - 5th Nov 24
Trump or Harris - Who Wins US Presidential Election 2024 Forecast Prediction - 5th Nov 24
Stock Market Brief in Count Down to US Election Result 2024 - 3rd Nov 24
Gold Stocks’ Winter Rally 2024 - 3rd Nov 24
Why Countdown to U.S. Recession is Underway - 3rd Nov 24
Stock Market Trend Forecast to Jan 2025 - 2nd Nov 24
President Donald PUMP Forecast to Win US Presidential Election 2024 - 1st Nov 24
At These Levels, Buying Silver Is Like Getting It At $5 In 2003 - 28th Oct 24
Nvidia Numero Uno Selling Shovels in the AI Gold Rush - 28th Oct 24
The Future of Online Casinos - 28th Oct 24
Panic in the Air As Stock Market Correction Delivers Deep Opps in AI Tech Stocks - 27th Oct 24
Stocks, Bitcoin, Crypto's Counting Down to President Donald Pump! - 27th Oct 24
UK Budget 2024 - What to do Before 30th Oct - Pensions and ISA's - 27th Oct 24
7 Days of Crypto Opportunities Starts NOW - 27th Oct 24
The Power Law in Venture Capital: How Visionary Investors Like Yuri Milner Have Shaped the Future - 27th Oct 24
This Points To Significantly Higher Silver Prices - 27th Oct 24

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

UK Autumn Statement: The Longest Tax Freeze in History Must be Turned into a Cut

Politics / UK Tax & Budget Nov 21, 2016 - 02:41 PM GMT

By: Submissions

Politics Pre-Autumn Statement releases and announcement rumours of a continuing freeze in fuel duty till April 2018 show that the Chancellor of the Exchequer in his first ‘Mini-Budget’ is undeniably listening to FairFuelUK’s overwhelming economic evidence that lower prices at the pumps are hugely beneficial to the economy.

However, following the Autumn Statement UK petrol drivers will remain the 5th most fuel taxed in the world with diesel drivers being punished more than all other countries in 1st position. UK drivers will still pay £33bn in fuel taxes each year to the Treasury for little investment return into roads infrastructure.



In 2016 George Osborne’s continuing freeze in duty boosted GDP by 0.57%, generated 112,00 new jobs and put £5.3bn back into hard working Brits consumer spending. It also bolstered tax revenues by 0.2%.

Because of these bullet proof facts, Philip Anthony Hammond PC MP could be bolder and trust even more so in our independent pragmatic economic evidence, we delivered to his and the Prime Minister’s office. The Chancellor must go further and cut fuel duty, proven empirically to be of no risk to the Treasury’s future tax income.

A 3p cut in duty would add £850m to GDP with no change in the net tax position due to the loss of duty, simply because the levy reduction will be compensated by the boost to income tax revenues. The motivation to the economy, impact on lowering inflation and 37m drivers’ cost of living would be considerable. This drop in fuel duty would save the poorest 50% of households on average £67 or £1.9bn in aggregate.

Dover MP Charlie Elphicke said: "FairFuelUK’s new CEBR report clearly shows cutting fuel duty would be a huge boost for the hard-working classes of modern Britain. It would mean more jobs - and more money in the pockets of families and small businesses. This is a powerful case for the Chancellor that lower fuel duty will help turbocharge growth in Brexit Britain."

Quentin Willson, Lead Campaigner for FairFuelUK said: "Our CEBR Report proves again there’s no cost to the Government but huge benefits to businesses and families by cutting fuel duty. The Chancellor can’t ignore our evidence."

Howard Cox, Founder of the FairFuelUK Campaign said: "It’s now time for the new Treasury Administration to practice what they endorse. Back in 2014 they said, lower fuel duty benefits the economy by boosting GDP. Such a widely popular cut in duty and VAT will also resonate profoundly with those families the Prime Minister addressed directly on the day she took office. Those families she said, that are: ‘just managing’, ‘working around the clock’, ‘doing their best’ and where ‘life can be a struggle. It’s time for the Government to truly deliver on the PM’s laudable intentions and help millions of hard working families, small businesses and the haulage industry to prosper. By doing so, the UK Economy will thrive after Brexit.’

On November 23rd – Autumn Statement Day

FairFuelUK said: “Not surprisingly the usual highly paid personnel from profit based motoring organisations, always available on speed dial for a quote, will be queuing up to take credit for what happens in Wednesday’s Autumn Statement. These groups are answerable to shareholders and City based equity companies and believe sending a letter to the press and to the Treasury is the height of effective campaigning.  It is only FairFuelUK who has commissioned and paid for independent economic evidence each year since January 2011, to measure the impact of fuel duty freezes and changes have had on our economy. Evidence always sought after, by the media. No other organisation has objectively shown so emphatically and paradoxically endorsed by the Treasury in 2014, that lower duty is good for GDP, jobs and lowering inflation. It is the not for profit campaign FairFuelUK supported by 1.4m of the public, who represents the true voice of 37m drivers and has the backing of over 140 MPs in Parliament, that has been solely responsible for the longest Tax Freeze in history.”

TV Motoring Journalist Quentin Willson, Howard Cox Founder of the FairFuelUK Campaign will be available for interviews in and around 4 Millbank, Westminster if required to comment on the Autumn Statement.

Main Summary Outcomes from FairFuelUK’s CEBR Report handed into the Treasury and No 10.

Here are the benefits of Duty Freeze in 2016
  • An annual boost to GDP of 0.57%.
  • Supported the generation of an additional £10.1 billion in the gross value added (GVA - Gross value) contributions of industry to GDP
  • Aggregated up across all households, these savings due to the freeze in duty amount to nearly £5.3bn being put back into consumer spending.
  • The creation of 112,000 jobs
  • A boost to net tax revenues of 0.20%
 The benefits if the Chancellor announced a 3p Cut in Duty for 2017 
  • A boost to the GVA of industries of about £0.85 billion
  • A boost in job creation of another 8,000 jobs
  • No change in the net tax position with the loss of indirect taxes because of the fuel duty reduction compensated by the boost to income tax revenues
  • A 3p cut in fuel duty would save the poorest 50% of households on average £67 - £1.9bn in aggregate
  • A 3p cut in fuel duty would save households an additional £116 on average- an aggregate saving of £3.2bn
  • A 1p rise in diesel duty would cost UK households £106 million in total in 2017, while a 5p rise would cost households £530 million
 
  • The Latest FairFuelUK CEBR Report can be downloaded in full: https://www.fairfueluk.com/AutumnStatement2016
     
  • Letter to the Chancellor signed by 53 Tory MPs: https://www.fairfueluk.com/CharlieElphicke/  
     
  • MPs visit the Treasury calling for a Fuel Duty Cut and the setting up of PumpWatch: http://www.fairmotoring.com/index.php?entry_id=1479372561
     
  • FairFuelUK’s letter to the Chancellor and the Prime Minister can be downloaded: http://www.fairfueluk.com/chancellor/
FairFuelUK is the Nationally Recognised Award Winning Campaign fighting for lower petrol & diesel prices and is widely accredited with stopping £57+ billions of fuel duty being levied on businesses and the public in 2011, 2012, 2013, 2014, 2015 and 2016. FairFuelUK is supported by 1,400,000 members of the public, the 20,000 haulage businesses in the RHA, FTA and the Association of Pallet Networks - Over 140 MPs have also declared their support for the FairFuelUK Campaign. The Campaign's primary focuses are to achieve a significant cut in Fuel Duty (with VAT the total tax approximates to 66+ percent of the pump price), more pricing receipt transparency and for petrol and diesel to be of equal levels of pricing at the pumps. www.fairfueluk.com
 
Media Contact: Howard Cox: 07515 421611 - Howard@fairfueluk.com
 

On November 23rd – Autumn Statement Day: TV Motoring Journalist Quentin Willson, Howard Cox Founder of the FairFuelUK Campaign will be available for interviews in and around 4 Millbank, Westminster if required to comment on the Autumn Statement. 

© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in