Fuel duty rise delayed until January

George OsborneLatest Government U-turn sees planned increase in fuel duty put back until next year.

The Chancellor, George Osborne, has announced that the planned fuel duty rise has been delayed until January 2013.

The Government had planned to add 3p to fuel duty in August. However, it has now decided to delay this tax rise, in order to help with the cost of living.

Wholesale oil prices have fallen significantly this year, by around 20%. But that fall has not been particularly well represented in the price we pay at the pump.

According to figures from the Department of Energy & Climate Change, the average price of a litre of unleaded petrol currently stands at 131.6p, having hit a new record high of 142.17 back in April.

The average price of a litre of diesel is currently 137.20, having hit a whopping 148.04 two months ago.

The easiest way to cut your petrol spend is to shop around for the cheapest prices in your area using petrolprices.com.

The fuel duty decision is just the latest post-Budget U-turn from the Government, following backtracks on VAT on pasties and static caravans, as well as dumping planned tax changes to charitable giving and church improvements.

What do you think? Is the Government right to ditch this planned tax rise? Is it enough to help struggling families?

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