Petrol duty increase stretches debt problems

Motorists who are experiencing debt problems could see their debt management issues made even worse after another rise in fuel duty.

The 2p rise in the tax on petrol from today, is the third increase in nine months and puts household finances under further pressure.

It’s feared that this could also spell the end for more hauliers, as the Freight Transport Association, which represents haulage companies, said the rise could force some companies out of business.

These increases come despite the price of oil falling by almost half during the last year. This hasn’t been passed on to motorists at the pump.

A spokesperson at the RAC said: “The Chancellor seems to regard Britain’s 30 million motorists as a soft target for tax and with this latest rise he risks alienating them even further.”

Debt advice organisations have voiced their concern on personal finances caused by the latest rise.

Ivan Cooper, Chairman at leading debt management company Chiltern, said: “This third fuel duty hike is unacceptable. Since the beginning of the year, there has been a 23 per cent rise in pump prices for motorists, meaning it now costs an extra £11 per tank to fill the average car.

“For households where money is already tight, this could push them over the edge and force them to develop serious debt problems.”

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