Whats your view. In April the government intend increasing the fuel duty to around 12p litre.
This increase is just going to fuel more inflation is it not?
It isn't high enough to force drivers off the road so it isn't even a valid rise on environmental grounds unless they ring fence anything raised to fund greener transport initiatives.
To keep it simple, lorries deliver goods all over the country, especially food. Diesel costs have been put forward to be one of the main reasons ( not the only one) for food increases.
Correct.
“Our analysis shows there is a clear link between inflation and fuel prices. When the prices drivers pay to fill up rise, inflation seems certain to follow. That’s something the chancellor must recognise as he considers what action to take today"
https://www.autocar.co.uk/car-news/consumer/fuel-duty-may-rise-12p-litre-next-year
The only other explanation I can come up with, is that they have no intention of doing such, when April comes around they call it off leaving us all happy and jumping for joy.
The usual approach is float something unacceptably high then when the time comes it's at the figuratively intended all along. Probably around 7p a litre rise. This leaves people thinking on that's not so bad then... It's all about creating false baselines.
It's the same when a firm wants to cut jobs, They always start about 50% higher, so the union can negotiate them down to the number they first thought of.
11.58 All very true, but even the threat can damage businesses future plans for next year, even the purchase of new lorries, and vans for home delivery. Its just seems mad to me, the thinking behind it all.