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UK: Oil Prices May Kill The Economy

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Ross Clark
Daily Express
Saturday, January 15, 2011

NICK Clegg earlier this week made a pitch for the hearts of “alarm clock Britain”: those who “come rain or shine are busy making Britain tick”. He was right to identify working people as being in need of support, having been taken for granted during the Labour years.

But what is the point in supporting people when they are emerging bleary-eyed from under their duvets if you are then going to kick them in the teeth when they go outside and get into the car?


Fuel prices yesterday were nudging their record highs of July 2008. Unleaded petrol was averaging £1.28 a litre and
diesel £1.32 a litre. And what is the Government doing to help those who rely on their cars to get to work every day? It plans to raise duty by a penny over inflation in April this year and every year until 2014.

While the Government’s “preferred” inflation index is the consumer price index (CPI), which stands at 3.3 per cent, when it comes to jacking up petrol prices the Treasury prefers the higher retail prices index (RPI), which stands at
4.7 per cent. With fuel duty already at just under 59p per litre it means that motorists in April face prices surging by another 4p a litre.

Full story here.

This article was posted: Saturday, January 15, 2011 at 9:36 am

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