A SMALL firms’ champion has called on the Government to scrap its planned October and January increases in fuel duties in order to help struggling companies.
The Forum of Private Business (FSB) said the average price of fuel is now 119.9p per litre, topping the previous high of 119.7p two years ago.
In some areas prices are much higher and analysts have warned they could reach as much as 150p per litre over the summer.
Already, increases in VAT and fuel duty between December 2008 and April 2010 have boosted the Government’s fuel tax take by 12.5%.
The FSB says cost increases on this scale are unsustainable for small businesses at the best of times, let alone in periods of recession.
FSB spokesman Matt Goodman said: “High fuel costs affect the entire economy. When prices at the pumps go up nearly every business and consumer in the UK suffers. Spiralling fuel duty is jeopardising small business growth. The planned increases should be shelved.”
