75ZT Community

http://www.bbc.co.uk/news/uk-politics-18588855

I should think so too.

Prices here have dropped since last filling up to:
Petrol 128.9
Diesel 132.9
Cheapest in a age all started by Asda cutting back and Sainsbury following. Shell etc about 2p litre more.
Good news on the 3p increase not now happening though.

In my view fuel costs, particularly to road hauliers should be permanently reduced to a reasonable level. The fallout being a broad stimulus to the economy. Which I understand is what everybody wants. If you want the public to spend more rather than holding on to their hard earned then a reduction in prices of all consumer goods / food brought about by lower fuel costs would be my preference.
In all likelihood, reducing the cost of fuel would result in more being purchased thus no overall loss to the exchequer through taxes and duty. Not to mention tax on increased sales of goods etc.

Anyone would think that the Government had announced that they were halving the duty, not just delaying a 13.4 pence a gallon rise by 5 months, judging by some of the reactions to this!

It is about time they gave drivers a break, it costs so much now to run a car it's ridiculous, we plought thousands a year into the governments coffer in one way or another, it's time they gave something back to the people, lets face it, the VAT increase to 20% was liberty imho.

The press are making out that the rise has been giving the boot altogether....

What price would you think was fair per ltr....the way its been lately i would be happy with £1 a ltr

nick nick wrote:The press are making out that the rise has been giving the boot altogether....

What price would you think was fair per ltr....the way its been lately i would be happy with £1 a ltr

Correct!

It's only been delayed until January, which is only 5 months later than the planned raise anyway!

As £1.34.9 a litre, equates to £6 a gallon, fuel is hardly a bargain in this Country is it!

You is only happy when you are grumping about summat Mr D...

Zeb wrote:You is only happy when you are grumping about summat Mr D...

I prefer the term "Realist"

Sorry, did I ought to be doffing my cap and thanking "Call me Dave" for not ripping me off for another 5 months?......

What you decide to do with yer cap is nowt to do with me matey.....

A celebrated American Professor of Economics, Arthur Laffer, (University and Business School of Chicago) a valued advisor to Reagan and Clinton postulated the theorem that to elevate taxation beyond a certain point would be counterproductive to raising further revenue.

The so called Laffer-Khaldun curve is a well known weapon of argument within the monetarist arsenal for reduced high level taxation, which is viewed as inevitably political and arithmetically futile. Indeed there is proof to this position (see UK high rate income tax receipts in the 60's, vs 80's). In latter times as we esckew these tenets and veer towards ‘Keynsian’ principles it's validity is now questioned.

The supply side of the UK fuel industry has been over refined for the past 35 years at least. Declining demand, has also suppressed crude and 'spot' prices, as these forces combine. Meanwhile, the 'price setter' in the oligopolistic retail price chain has shifted from Oil Company directly operated filling station chains, to the Grocers, further reducing pump prices.

For the exchequer, these factors are empirically negative, effecting both Duty and VAT revenue streams - liquidity to a hard-pressed arrears seller, which is what we have become. National Debt has risen from 25 to 60% of GDP since 1990 and has only ever been higher in 1815 and 1945 when we finished fighting Napolean and the Axis powers of WW2. Interest running at 6% of Gross Product and expenditure set to exceed revenue in the long term heralds either more 'Quantitive Easing' (a death knell to Private Pension Funds if your unlucky enough to have one), or substantial hikes in direct taxation, equivalent to at least 1% of GDP.

As Bob Dylan said 'the times they are a changin'.